The Electricity and Gas (Internal Markets) Regulations 2011

PART 5 E+W+S Distribution

Independence of gas transporters authorised to convey gas to premises E+W+S

18.—(1) Section 7 of the Gas Act 1986 (licensing of gas transporters) M1 is amended as follows.

(2) In subsection (2), for “subsection (3)” substitute “ subsections (3) and (3A) ”.

(3) After subsection (3) insert—

“(3A) A licence authorising the conveyance of gas through pipes to any premises must not be granted under this section to a person who is a gas producer unless it is a condition of the licence that the person must not convey gas through pipes to 100,000 or more sets of premises.”.

(4) In subsection (4), for “The” substitute “ Subject to subsection (3A), the ”.

(5) In subsection (10), before paragraph (a) insert—

“(za) “gas producer” means a person who—

(i) gets natural gas from its natural condition in strata otherwise than as an unintended consequence of the storage of gas, and requires a licence under section 3 of the Petroleum Act 1998 (licences to search and bore for and get petroleum) to do so or would require such a licence if getting the gas in Great Britain; or

(ii) produces any other gas, including in particular biomethane, which is suitable for conveyance through pipes to premises in accordance with a licence under section 7;”.

Marginal Citations

M1 Section 7 was amended by the Gas Act 1995 (c. 45), section 5; and the Energy Act 2004, section 149(1) and (5). Other amendments have been made that are not relevant for these purposes.

Independence of electricity distributors E+W+S

19.  In section 6(2) of the Electricity Act 1989 (licences authorising supply, etc) M2 , for “a supply licence” substitute—

“(a) a generation licence; or

(b) a supply licence.”.

Marginal Citations

M2 1989 c. 29. Section 6 was substituted for section 6 as originally enacted by the Utilities Act 2000 (c. 27), section 30. Other amendments have been made that are not relevant for these purposes.