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(1)After section 15 of the M1Electricity Act 1989 (modification of licences by order under other enactments) there is inserted—
(1)The Secretary of State may, in accordance with this section, modify—
(a)the conditions of a particular licence; or
(b)the standard conditions of licences of any type mentioned in section 6(1),
where he considers it necessary or expedient to do so for the purpose of implementing, or facilitating the operation of, new arrangements relating to the trading of electricity.
(2)The power to modify licence conditions under paragraph (a) or (b) of subsection (1) includes power—
(a)to make modifications relating to the operation of transmission systems and distribution systems; and
(b)to make incidental or consequential, or transitional, modifications.
(3)Before making modifications under this section the Secretary of State shall consult the holder of any licence being modified and such other persons as he considers appropriate.
(4)Any consultation undertaken by the Secretary of State before the commencement of this section shall be as effective, for the purposes of subsection (3), as if undertaken after that commencement.
(5)Any modification of part of a standard condition of a licence under subsection (1)(a) shall not prevent any other part of the condition from continuing to be regarded as a standard condition for the purposes of this Part.
(6)Where the standard conditions of licences of any type are modified under subsection (1)(b), the Secretary of State shall make (as nearly as may be) the same modifications of the standard conditions for the purposes of their incorporation in licences of that type granted after that time.
(7)The Secretary of State shall publish any modifications under this section in such manner as he considers appropriate.
(8)The power of the Secretary of State under this section may not be exercised after the end of the period of two years beginning with the passing of the Utilities Act 2000.”
(2)This section shall come into force on the passing of this Act.
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