Utilities Act 2000

Changes over time for: Section 8

Version Superseded: 01/04/2014

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8 Payments by licence holders relating to new arrangements.E+W+S

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(1)In this section “payment conditions” means—

(a)in relation to a gas licence, conditions included in the licence by virtue of section 7B(4)(c) of the 1986 Act; or

(b)in relation to an electricity licence, conditions included in the licence by virtue of section 7(1)(b) of the 1989 Act.

(2)The payment conditions of a gas licence or an electricity licence may (without prejudice to the generality of the provisions mentioned in subsection (1)) require the payment by the licence holder of sums relating to any of the expenses mentioned in subsection (3) [F1 or (3A) ].

(3)[F2 The expenses within this subsection ] are—

(a)the expenses of the [F3Gas and Electricity Consumer Council]; and

F4(b). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

[F5(3A)The expenses within this subsection are—

(a)the appropriate proportion of the expenses of the Council (including expenses which relate to its establishment but not expenses within paragraph (c));

(b)the appropriate proportion of the expenses of the Secretary of State which relate to the establishment of the Council;

(c)any expenses of the Council, the Secretary of State or the Gas and Electricity Consumer Council which relate to a transfer scheme made in respect of the Gas and Electricity Consumer Council under section 35(2)(a) or (7) of the Consumers, Estate Agents and Redress Act 2007;

(d)the expenses of the Secretary of State which relate to the abolition of the Gas and Electricity Consumer Council;

F6(e). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(f) the appropriate proportion of the expenses of [F7 Citizens Advice or Citizens Advice Scotland ] on, or in connection with, the support of [F8 any qualifying public consumer advice scheme ].

(3B)The “appropriate proportion” of any expenses means such proportion of the expenses as the Secretary of State considers is reasonable having regard to—

(a)in the case of expenses within subsection (3A)(a) or (b), the functions exercisable by the Council in relation to gas and electricity consumers, and

(b) in the case of expenses within subsection (3A)(f), the functions under [F9 the qualifying consumer advice scheme ] which are exercisable in relation to gas and electricity consumers. ]

[F10(3C)A qualifying public consumer advice scheme is a scheme that is supported by Citizens Advice or Citizens Advice Scotland, or by them jointly, in a manner that the Office of Fair Trading is prohibited from using by section 8A of the Enterprise Act 2002.]

(4)The Authority may, in accordance with this section, modify any payment conditions of a gas licence or an electricity licence where the Authority considers it necessary or expedient to do so in consequence of, or of preparations for—

[F11(a) the establishment of the Council, or ]

[F11(b) the abolition of the Gas and Electricity Consumer Council.]

[F12(5) The Authority may, in accordance with this section, make such incidental or consequential modifications of—

(a)the other conditions of a gas licence or an electricity licence, or

(b)any code or agreement relevant to the conditions of such a licence,

as it considers necessary or expedient in consequence of, or of preparations for, an event mentioned in subsection (4)(a) or (b).]

(6)Before modifying the conditions of a licence [F13 or any code or agreement ] under subsection (4) or (5) the Authority shall consult the licence holder.

F14(7). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

[F15(8)The powers of the Authority under subsection (4) (as amended by paragraph 29 of Schedule 1 to the Consumers, Estate Agents and Redress Act 2007), and subsection (5) as it applies in relation to that subsection, may not be exercised after the end of the period of 2 years beginning with the commencement of that paragraph.]

(9)The Secretary of State may give directions to the Authority for the purpose of securing that sums relating to any of the expenses mentioned in subsection (3) [F16 or (3A) ] are included in the sums payable by virtue of payment conditions in gas licences and electricity licences; and the Authority shall comply with any such direction.

[F17( 10)For the purposes of this section—

[F18 “Citizens Advice” means the National Association of Citizens Advice Bureaux;]
[F19 “Citizens Advice Scotland” means the Scottish Association of Citizens Advice Bureaux;]
“ consumer ” has the same meaning as in Part 1 of the Consumers, Estate Agents and Redress Act 2007 (see section 3 of that Act);
“ gas and electricity consumers ” means consumers in relation to gas conveyed through pipes or electricity conveyed by distribution systems or transmission systems;
“ OFT scheme ” means any public consumer advice scheme supported by the Office of Fair Trading. ]