The Electricity Supply Pension Scheme (Eligible Persons) Regulations 1990

SCHEDULE

Regulation 4(1)

PART I amendments to the electricity supply pension scheme relating to by-analogy members

1.  In Clause 46, the following definitions shall be inserted in alphabetical sequence:

““By-Analogy Arrangement” means an arrangement for providing pension and lump sum benefits for a person defined and referred to in the By-Analogy Assimilation Regulations as a “by-analogy member”;

“By-Analogy Assets” means in relation to each By-Analogy Arrangement the assets which are transferred to the Scheme in respect of such arrangement by the relevant By-Analogy Employer pursuant to the By-Analogy Assimilation Regulations;

“By-Analogy Assimilation Regulations” means the Electricity Supply Pension Scheme (Eligible Persons) Regulations 1990;

“By-Analogy Employer” means the person having liabilities in relation to a By-Analogy Arrangement, being defined and referred to in the By-Analogy Assimilation Regulations as a “relevant existing body”;

“By-Analogy Liabilities” means in relation to each By-Analogy Arrangement the liabilities which are assumed by the Trustees in respect of such arrangement pursuant to the By-Analogy Assimilation Regulations, that is to say every liability or obligation outstanding immediately before the coming into force of the By-Analogy Assimilation Regulations and incurred by any By-Analogy Employer or other person on behalf of or for the purposes of a By-Analogy Arrangement;

“Transferred By-Analogy Member” means:

(a)

an individual who was contributing in respect of a By-Analogy Arrangement on the date on which the By-Analogy Assimilation Regulations came into force;

(b)

an individual who had ceased contributing in respect of a By-Analogy Arrangement on such date and was in receipt of a pension pursuant to such arrangement; or

(c)

an individual who had ceased contributing in respect of a By-Analogy Arrangement on such date and was prospectively entitled to benefits pursuant to such arrangement;

“Transferred Former By-Analogy Member” means a person who was deceased on the date on which the By-Analogy Assimilation Regulations came into force and in respect of whom benefits were being paid under a By-Analogy Arrangement on such date;”.

2.  In Clause 46, the definition of “Former Member” shall be amended by the insertion at the end of sub-paragraph (c) of the words:

“and a Transferred Former By-Analogy Member”.

3.  In Clause 46, the definition of “Special Member” shall be amended by the addition at the end of the words:

“and a Transferred By-Analogy Member”.

4.  Add new Rule 46 as follows:

“ASSIMILATION OF BY-ANALOGY ARRANGEMENTS

46.— (1) The Trustees shall assume responsibility for the By-Analogy Liabilities in respect of the Transferred By-Analogy Members and in respect of the dependants of the Transferred By-Analogy Members and of the Transferred Former By-Analogy Members who are in receipt of, or prospectively or contingently entitled to, benefits in relation to the By-Analogy Arrangements.

(2) (a) Upon assuming responsibility for the By-Analogy Liabilities, the Trustees shall cause an actuarial valuation of the By-Analogy Assets and the By-Analogy Liabilities in respect of each By-Analogy Arrangement to be prepared by the Actuary, in accordance with the provisions of the By-Analogy Assimilation Regulations.

(b) Where under an actuarial valuation referred to in sub-paragraph (a) the Actuary certifies that the By-Analogy Assets are not sufficient to meet the By-Analogy Liabilities, the deficiency certified by the Actuary shall be met by a payment to the Fund of the amount of such deficiency by the By-Analogy Employer which was responsible for the relevant By-Analogy Arrangement.

(3) (a) The Transferred By-Analogy Members and the dependants of the Transferred By-Analogy Members and of the Transferred Former By-Analogy Members in respect of whom the Trustees have assumed By-Analogy Liabilities shall each be afforded substituted rights under the Scheme as set out in sub-paragraphs (b) and (c), in substitution for and satisfaction of all their rights under the By-Analogy Arrangements.

(b) The said substituted rights shall be equivalent to:

(i) the rights to which each Transferred By-Analogy Member and each dependant of a Transferred By-Analogy Member and of a Transferred Former By-Analogy Member would have been entitled under the relevant By-Analogy Arrangement, had it remained applicable to him; and

(ii) all additional rights calculated by reference to pensions and lump sums under (i) arising from an obligation undertaken by the By-Analogy Employer in relation to him by way of annual payments as are transferred to the Scheme under the By-Analogy Assimilation Regulations;

• Provided That such substituted rights shall be subject to the modifications and exceptions set out in sub-paragraph (c).

  (c)

  The modifications and exceptions referred to in sub-paragraph (b) are as follows:

  (i)

  with effect from the date on which such Regulations come into force there shall be deemed to be included in such substituted rights provisions for pensions increases on the basis set out in Rule 26, to the exclusion of the like provisions (if any) of the relevant By-Analogy Arrangement;

  (ii)

  in relation to each Transferred By-Analogy Member whose By-Analogy Arrangement was made on terms which took effect from a date prior to 1 April 1988 and were expressed by reference to the Scheme, the Transferred By-Analogy Member shall be treated for the purposes of the Scheme as if he had become a Contributor prior to 1 April 1988;

  (iii)

  for any disability benefit for total disablement that includes a fixed sum payable periodically for a limited period there shall be substituted an incapacity pension for life of an amount certified by the Actuary to be equivalent in value to the whole of the benefit concerned;

  (iv)

  if a refund of a Transferred By-Analogy Member’s contributions (with or without interest) is made on his leaving Service, no other benefit except such a pension as is mentioned in (vii) of this sub-paragraph shall be payable to or in respect of him;

  (v)

  no Transferred By-Analogy Member shall be entitled to exercise any option to continue to make contributions after he has left Service;

  (vi)

  no benefit payable under sub-paragraph (a) shall exceed the maximum which would have been payable under the relevant By-Analogy Arrangement in order for that arrangement to comply with the requirements of the Board of Inland Revenue under the Taxes Act 1988; and

  (vii)

  if any Transferred By-Analogy Member leaves Service in circumstances in which a payment in lieu of contributions under the National Insurance Act 1965 would fall to be made, the Trustees may, if they think fit, make arrangements to pay to the Transferred By-Analogy Member on attaining age 65 (60 in the case of a woman) such a pension in respect of his non-participating employment under the said Act as will constitute Equivalent Pension Benefits and such pension shall be payable accordingly.

(4) (a) Subject to the provisions of Rule 12, each Transferred By-Analogy Member shall pay contributions to the Fund equivalent to the contributions which would have been payable by him under the By-Analogy Arrangement applicable to him.

(b) Where contributions are payable by a Transferred By-Analogy Member under sub-paragraph (a), the provisions of Clause 13(1)(a) shall apply in relation thereto.”

Regulation 11(2)

PART II amendments to the electricity supply pension scheme relating to officers of the electricity consumers' council.

1.  In Clause 46, the definition of “the Boards” shall be deleted and the following definition shall be substituted:

““the Boards” means the Council, the Generating Board, the Area Boards, the Consultative Councils and the Electricity Consumers' Council; and

“the Board” means whichever of the Boards is appropriate;”.