3.—(1) Subject to articles 4 and 5, where any local statutory provisions have effect immediately before the transfer date in relation to the whole or any part of any water authority area for purposes connected with functions corresponding to functions which, by virtue of Part II of the Act, are vested in a water undertaker or sewerage undertaker, or in relation to property, rights or liabilities to which such an undertaker becomes entitled or subject in accordance with a scheme under Schedule 2 to the Act–
(a)any reference in those provisions to the water authority for that area or to any other body which, by virtue of any enactment, is to be treated as a reference to that authority, shall have effect, so far as may be necessary for the purposes of, or in connection with, the vesting of those functions, or the transfer of the property, rights or liabilities, as if it were a reference to the water undertaker for so much of that area as is not the subject of an appointment under section 11(4)(a) of the Act (appointment of statutory water companies as water undertakers) or, as the case may be, to the sewerage undertaker for that area; and
(b)everything done by or in relation to that water authority, or treated as done by or in relation to that authority, under any such provision shall have effect, so far as may be so necessary, as if it had been done by or in relation to that undertaker.
(2) Subject to articles 4 and 5, where any local statutory provisions have effect as mentioned in paragraph (1) for purposes connected with functions assigned or transferred to the National Rivers Authority under the Act, or in relation to property, rights or liabilities to which the Authority becomes entitled or subject in accordance with a scheme under Schedule 2 to the Act–
(a)any reference in those provisions to a water authority or to any other body which, by virtue of any enactment, is to be treated as a reference to such an authority, shall have effect, so far as may be necessary for the purposes of, or in connection with, those functions, or the transfer of the property, rights or liabilities, as if it were a reference to the Authority; and
(b)everything done by or in relation to that water authority, or treated as done by or in relation to that authority, under any such provision shall have effect, so far as may be so necessary, as if it had been done by or in relation to the Authority.