Part 6Governance of gas and electricity industry codes
Licensing and selection of code manager
I1186Licence under Electricity Act 1989 for performance of code management function
1
Part 1 of the Electricity Act 1989 is amended as follows.
2
Section 4 (prohibition on unlicensed supply, etc) is amended as follows.
3
In subsection (1)—
a
omit the “or” after paragraph (d);
4
After subsection (3G) insert—
3H
A reference in this Part to a person (“P”) performing the function of code manager in relation to a designated electricity licence document is a reference to making arrangements, with the persons to whom subsection (3I) applies, under which P is responsible for the governance of the document.
3I
This subsection applies to the holder of a licence for the purposes of section 4 where a condition of the licence requires the holder to comply with the designated electricity licence document in question.
5
In subsection (6), at the appropriate place insert—
“designated electricity licence document” means a document that is—
- a
maintained in accordance with the conditions of a licence for the purposes of section 4, and
- b
designated under section 182 of the Energy Act 2023;
6
Section 6 (licences authorising supply, etc) is amended as follows.
7
In subsection (1)—
a
omit the “or” after paragraph (e);
b
after paragraph (f) insert
, or
g
a licence authorising a person to perform the function of code manager in relation to a designated electricity licence document (“a code manager licence”).
8
After subsection (2B) insert—
2C
Where a designated electricity licence document is also a designated gas licence document, a person may not be granted a code manager licence in relation to the document unless the same person is at the same time granted a licence under section 7AC of the Gas Act 1986.
9
For subsection (10) substitute—
10
In this section—
“designated electricity licence document” has the same meaning as in section 4;
“designated gas licence document” has the same meaning as in section 5 of the Gas Act 1986;
“premises” has the same meaning as in section 4.
10
Section 7 (conditions of licences: general) is amended as follows.
11
In subsection (3B)—
a
after “smart meter communication licence” (in the first place it occurs) insert “or in a code manager licence”
;
b
for “smart meter communication licence” (in the second place it occurs) substitute “a licence of the same type”
.
12
In subsection (3C)—
a
for “Secretary of State or the Authority” substitute “relevant authority”
;
b
in paragraph (b)(ii), after “licence” insert “or (in the case of an application for a code manager licence) apply for a licence otherwise than as part of a competition”
.
13
In subsection (3D), after “smart meter communication licence” insert “or in a code manager licence”
.
14
In subsection (3E), for “the Secretary of State or the Authority” substitute “the relevant authority”
.
15
In subsection (3F)—
a
in paragraph (a), for “Secretary of State or the Authority (as appropriate)” substitute “relevant authority”
;
b
in paragraph (b), for “Secretary of State or the Authority (as appropriate)” substitute “relevant authority”
.
16
In subsection (3G)(a), after “licence” insert “or (as the case may be) code manager licence”
.
17
After subsection (3G) insert—
3GA
In subsections (3C) to (3F), “the relevant authority” means—
a
in relation to a smart meter communication licence, the Secretary of State or the Authority;
b
in relation to a code manager licence, the Authority.
18
In section 7A (transfer of licences), after subsection (11A) insert—
11B
Where the holder of a code manager licence is also the holder of a licence under section 7AC of the Gas Act 1986, the code manager licence may not be transferred to a person unless the licence under section 7AC of that Act is transferred to the same person at the same time.