For section 8 of the 1986 Act there shall be substituted the following section—

“8 Standard conditions of licences.

(1)

Subject to subsections (2) and (3) and sections 23(2), 26(1A) and 27(2) below, each condition which by virtue of section 8(2) of the Gas Act 1995 is a standard condition for the purposes of—

(a)

licences under section 7 above;

(b)

licences under subsection (1) of section 7A above; or

(c)

licences under subsection (2) of that section,

shall be incorporated (that is to say, incorporated by reference) in each licence under that section or, as the case may be, that subsection.

(2)

Subsection (1) above shall not apply in relation to a licence under section 7A(1) above which authorises only the supply to premises of gas which has been conveyed to the premises otherwise than by a public gas transporter.

(3)

Subject to the following provisions of this section, the Director may, in granting a licence, modify any of the standard conditions to such extent as he considers requisite to meet the circumstances of the particular case.

(4)

Before making any modifications under subsection (3) above, the Director shall give notice—

(a)

stating that he proposes to make the modifications and setting out their effect;

(b)

stating the reasons why he proposes to make the modifications; and

(c)

specifying the time (not being less than 28 days from the date of publication of the notice) within which representations or objections with respect to the proposed modifications may be made,

and shall consider any representations or objections which are duly made and not withdrawn.

(5)

A notice under subsection (4) above shall be given—

(a)

by publishing the notice in such manner as the Director considers appropriate for the purpose of bringing the notice to the attention of persons likely to be affected by the making of the modifications; and

(b)

by sending a copy of the notice to the Secretary of State, to the Health and Safety Executive and to the Council.

(6)

If, within the time specified in the notice under subsection (4) above, the Secretary of State directs the Director not to make any modification, the Director shall comply with the direction.

(7)

The Director shall not make any modifications under subsection (3) above of a condition of a licence under subsection (1) or (2) of section 7A above unless he is of the opinion that the modifications are such that no other holder of such a licence would be unduly disadvantaged in competing with other holders of such licences (including the holder of the licence).

(8)

The modification under subsection (3) above of a condition of a licence shall not prevent so much of the condition as is not so modified being regarded as a standard condition for the purposes of this Part.

(9)

In this section “modify” includes fail to incorporate and “modification” shall be construed accordingly.”