Energy Act 2004

134 Power to modify licence conditions

(1) If the Secretary of State considers it necessary or expedient to do so for the purpose of implementing the new trading and transmission arrangements (whether wholly or partly), he may modify—

(a) the conditions of a particular licence under section 6 of the 1989 Act (licences authorising supply etc.), or

(b) the standard conditions of licences of any of the types of licence mentioned in subsection (1) of that section (generation, transmission, distribution or supply licences).

(2) The power under subsection (1) includes—

(a) power to make modifications relating to the operation of distribution systems, and

(b) power to make incidental, consequential or transitional modifications.

(3) Before making modifications under this section, the Secretary of State shall consult the holder of any licence being modified and such other persons as he considers appropriate.

(4) Subsection (3) may be satisfied by consultation before, as well as by consultation after, the commencement of this section.

(5) The Secretary of State shall publish any modifications under subsection (1) in such manner as he considers appropriate.

(6) Any modification under subsection (1)(a) of part of a standard condition of a licence shall not prevent any other part of the condition from continuing to be regarded as a standard condition for the purposes of Part 1 of the 1989 Act.

(7) Where the Secretary of State modifies the standard conditions of licences of any type under subsection (1)(b), GEMA shall—

(a) make (as nearly as may be) the same modifications of those standard conditions for the purposes of their incorporation in licences of that type granted after that time, and

(b) publish the modifications in such manner as it considers appropriate.

(8) The power under subsection (1) may not be exercised after the end of the period of eighteen months beginning with the day on which that subsection comes into force.

(9) In subsection (2)(a), the reference to distribution systems is to be construed in accordance with section 4(4) of the 1989 Act.