After section 11 of the 1989 Act there is inserted—
(1)Subject to the following provisions of this section, the Authority may modify the standard conditions of licences of any type mentioned in section 6(1).
(2)Where at any time the Authority modifies the standard conditions of licences of any type under this section the Authority may make such incidental or consequential modifications as it considers necessary or expedient of any conditions of any licence of that type.
(3)Before making any modifications under this section, the Authority shall give notice—
(a)stating that it proposes to make the modifications and setting out their effect;
(b)stating the reasons why it proposes to make the modifications; and
(c)specifying the time (not being less than 28 days from the date of publication of the notice) within which representations or objections with respect to the proposed modifications may be made;
and shall consider any representations or objections which are duly made and not withdrawn.
(4)A notice under subsection (3) shall be given—
(a)by publishing the notice in such manner as the Authority considers appropriate for the purpose of bringing the notice to the attention of persons likely to be affected by the making of the modifications; and
(b)by sending a copy of the notice to each relevant licence holder, to the Secretary of State and to the Council.
(5)If, within the time specified in the notice under subsection (3), the Secretary of State directs the Authority not to make any modification, the Authority shall comply with the direction.
(6)The Authority may not under this section make any modifications of the standard conditions of licences of any type unless—
(a)no notice of objection to those modifications is given to the Authority within the time specified in the notice under subsection (3) by any relevant licence holder;
(b)if one or more relevant licence holders give notice of objection to the Authority within that time—
(i)the proportion (expressed as a percentage) of the relevant licence holders who have given notice of objection is less than such percentage as may be prescribed; and
(ii)the percentage given by subsection (7) is less than such percentage as may be prescribed; or
(c)subsection (8) applies to the case.
(7)The percentage given by this subsection is the proportion (expressed as a percentage) of the relevant licence holders who have given notice of objection, weighted according to their market share in such manner as may be prescribed.
(8)This subsection applies where the Authority is satisfied that—
(a)the effect of the standard conditions is such as to impose a burden affecting relevant licence holders in the carrying on of activities to which the modifications relate;
(b)the modifications would remove or reduce the burden without removing any necessary protection; and
(c)the modifications are such that no holder of a licence of the type in question would be unduly disadvantaged in competing with other holders of such licences.
(9)Where the Authority modifies the standard conditions of licences of any type—
(a)the Authority shall also make (as nearly as may be) the same modifications of those conditions for the purposes of their incorporation in licences of that type granted after that time; and
(b)the Authority shall publish the modifications in such manner as it considers appropriate.
(10)In this section—
“prescribed” means prescribed in an order made by the Secretary of State; and
“relevant licence holder”, in relation to proposed modifications of standard conditions of licences of any type, means the holder of a licence of that type—
which is to be modified under the proposals by the inclusion of any new standard condition; or
which includes any standard conditions to which the proposals relate, other than standard conditions which are not in effect (by virtue of anything done under section 33(2) of the Utilities Act 2000) at the time specified in the notice under subsection (3).
(11)A statutory instrument containing an order under this section shall not be made unless a draft of the instrument has been laid before, and approved by a resolution of, each House of Parliament.”