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Part 2 E+W+SSecurity of energy supplies

Valid from 18/12/2011

CHAPTER 5E+W+SSpecial administration

Special administration under this ChapterE+W+S

98Modifications of particular or standard conditionsE+W+S

(1)Where the Secretary of State considers it appropriate to do so in connection with the provision made by this Chapter, the Secretary of State may make—

(a)modifications of the conditions of a gas or electricity licence held by a particular person;

(b)modifications of the standard conditions of such licences of any type.

(2)The power to make modifications under this section includes power to make incidental, consequential or transitional modifications.

(3)Before making a modification under this section, the Secretary of State must consult—

(a)the holder of any licence being modified; and

(b)such other persons as the Secretary of State considers appropriate.

(4)The Secretary of State must publish every modification made under this section.

(5)The publication must be in such manner as the Secretary of State considers appropriate.

(6)A modification under subsection (1)(a) of part of a standard condition of a licence does not prevent any other part of the condition from continuing to be regarded as a standard condition for the purposes of Part 1 of the Gas Act 1986 or Part 1 of the Electricity Act 1989.

(7)Where the Secretary of State makes modifications under subsection (1)(b) of the standard conditions of licences of any type, the Gas and Electricity Markets Authority must—

(a)make (as nearly as may be) the same modifications of those standard conditions for the purposes of their incorporation in licences of that type granted after that time; and

(b)publish the modifications in such manner as it considers appropriate.

(8)The Secretary of State's powers under this section are exercisable only during the eighteen months beginning with the commencement of this section.

(9)In section 33(1) of the Utilities Act 2000 (standard conditions of generation, distribution and supply licences under Part 1 of the Electricity Act 1989), after “76” (as inserted by section 77(5) of this Act) insert “ or 98 ”.

(10)In section 81(2) of the Utilities Act 2000 (standard conditions of transporter, supply and shipping licences under Part 1 of the Gas Act 1986), after “76” (as inserted by section 77(6) of this Act) insert “ or 98 ”.

(11)In section 146(5) of the Energy Act 2004 (standard conditions of interconnector licences under Part 1 of the Electricity Act 1989), for “or under this Act” substitute “ , under this Act or under section 98 of the Energy Act 2011 ”.

(12)In section 150(5) of the Energy Act 2004 (standard conditions of interconnector licences under Part 1 of the Gas Act 1986), for “or under this Act” substitute “ , under this Act or under section 98 of the Energy Act 2011 ”.

(13)Sections 4AA to 4B of the Gas Act 1986 (principal objective and general duties) apply in relation to the powers of the Secretary of State under this section with respect to holders of gas licences as they apply in relation to functions of the Secretary of State under Part 1 of that Act.

(14)Sections 3A to 3D of the Electricity Act 1989 (principal objective and general duties) apply in relation to the powers of the Secretary of State under this section with respect to holders of electricity licences as they apply in relation to functions of the Secretary of State under Part 1 of that Act.

(15)In this section—

(a)references to a gas licence are to a licence for the purposes of section 5 of the Gas Act 1986 (prohibition on unlicensed activities relating to gas), and

(b)references to an electricity licence are to a licence for the purposes of section 4 of the Electricity Act 1989 (prohibition on unlicensed activities relating to electricity).