Section 2 (general duties with respect to water industry) is amended as follows.

In subsection (1), for the words from “the following” to the end there is substituted “ the powers and duties conferred or imposed on the Secretary of State or the Authority by virtue of any of the relevant provisions. ”

In subsection (2A)(d), for “of a licensed water supplier” there is substituted “ of a water supply licensee or sewerage licensee ”.

In subsection (2D), for the words from “not eligible” to “the total quantity” there is substituted “ below the consumption threshold if the total quantity ”.

In subsection (2DB) (inserted by section 22), in paragraph (b) (meaning of sewerage systems), for the words from “a reference to the system comprising” to the end there is substituted “ to be construed in accordance with section 17BA(7). ”

Section 10 (transitional provision with respect to replacement appointments) is amended as follows.

In subsection (2), for “and (4)” there is substituted “ to (4) ”.

After subsection (3) there is inserted—

Section 17B (provision supplementary to section 17A) is amended as follows.

For the title there is substituted “ Meaning of supply system ”.

Subsections (1) to (4) (provision as to guidance on extent of premises) are repealed.

Subsection (9) (references to a licensed water supplier) is repealed.

Section 17D (the threshold requirement) is amended as follows.

In subsection (2) (description of the requirement), for “licensed water supplier” there is substituted “ water supply licensee ”.

Subsection (5) (duty of Secretary of State to consult the National Assembly for Wales before issuing guidance) is repealed.

Subsection (6) (application of guidance provision to threshold requirement) is repealed.

In subsection (10) (procedure), for “each House of Parliament” there is substituted “ the Assembly ”.

Subsections (12) and (13) (exercise of powers by Welsh Ministers) are repealed.

Section 17E (determinations by the Authority) is amended as follows.

For subsection (1) there is substituted—

Section 17F (procedure for granting water supply licences) is amended as follows.

In the title, after “water supply” there is inserted “ and sewerage ”.

In subsection (8), the words “by the Secretary of State or” are repealed.

Section 17G (water supply licence conditions) is amended as follows.

For the title there is substituted “ Licence conditions ”.

After subsection (2) there is inserted—

In subsection (3) (directions and determinations), for “water supply licence” there is substituted “ licence under this Chapter ”.

In subsection (4) (persons who may give directions etc), in paragraph (a)(iii), at the beginning there is inserted “so far as subsection (3) applies to water supply licences,”.

In subsection (5) (duration and modification of conditions), for “water supply licence” there is substituted “ licence under this Chapter ”.

In subsection (7) (payments received by Secretary of State paid into the Consolidated Fund), for “the Secretary of State” there is substituted “ the Authority ”.

Section 17H (standard conditions of water supply licences) is amended as follows.

For subsections (1) to (3) there is substituted—

In subsection (4) (general provision about standard conditions), for “of either description” there is substituted “ giving any particular authorisation or combination of authorisations ”.

In subsection (9) (direction not to exclude or modify a standard condition), for “the Assembly” there is substituted “ the Welsh Ministers in a case where notice was served on them under subsection (8)(b)(i) ”.

Section 17I (modification of licences by agreement) is amended as follows.

For the title there is substituted “ Modification of licences by agreement ”.

In subsection (1) (power of Authority to modify licence), for the words from “conditions of” to the end there is substituted

In subsection (4)(b) (persons to be served with notice of proposed modifications), in sub-paragraph (iv), at the beginning there is inserted “if the notice relates to a water supply licence,”.

In subsection (5) (direction not to modify a condition), the words “(after consulting the Assembly)” are repealed.

After subsection (5) there is inserted—

Section 17J (general modification of standard conditions) is amended as follows.

For the title there is substituted “ Modification of standard conditions ”.

In subsection (1) (power of Authority to modify standard conditions), for the words from “may modify” to the end there is substituted

After subsection (1) there is inserted—

In subsection (4)(b) (persons to be served with notice of proposed modifications), in sub-paragraph (iv), at the beginning there is inserted “if the notice relates to a water supply licence,”.

In subsection (5) (direction not to modify a standard condition), the words “(after consulting the Assembly)” are repealed.

After subsection (5) there is inserted—

In subsection (6) (modification conditional on views of relevant licence holders), for “retail licences or combined licences” there is substituted “ water supply licences or sewerage licences ”.

In subsection (8) (preconditions for modification of standard condition), in paragraph (c), after “a water supply licence” there is inserted “ or, as the case may be, a sewerage licence ”.

In subsection (10) (consultation with Welsh Ministers), after “subsection (6) above” there is inserted “ in relation to the standard conditions of water supply licences ”.

In subsection (13) (meaning of “relevant licence holder”), for “retail licences or combined licences” there is substituted “ water supply licences or sewerage licences or of such of those licences as grant a particular authorisation or combination of authorisations ”.

Section 17K (references to competition authority in relation to the modification of licences) is amended as follows.

For the title there is substituted “ Modification references to competition authority ”.

In subsection (1) (reference of a particular licence), in paragraph (a)(i), for “a particular licence” there is substituted “ a particular water supply or sewerage licence ”.

In subsection (2) (general matters that may be referred), in paragraph (a)(i), for “retail licences or combined licences” there is substituted “ water supply licences or sewerage licences that grant a particular authorisation or combination of authorisations ”.

In subsection (5)(b) (persons to be served with copy of reference or variation), in sub-paragraph (iv), at the beginning there is inserted “in a case relating to a water supply licence or licences,”.

Section 17N (reports on modification references) is amended as follows.

For the title there is substituted “ Reports on modification references ”.

In subsection (10)(a) (persons to be served with report relating to a particular licence), in sub-paragraph (iv), at the beginning there is inserted “if the report relates to a water supply licence,”.

In subsection (11)(a) (persons to be served with report relating to a standard condition), in sub-paragraph (ii), at the beginning there is inserted “if the report relates to water supply licences,”.

In subsection (12) (meaning of “relevant time”), in paragraph (a), after “Secretary of State and” there is inserted “ , if the report relates to water supply licences, ”.

Section 17O (modification of licences following report) is amended as follows.

For the title there is substituted “ Modification of licences following report ”.

In subsection (2) (power to make incidental and consequential modifications), for “the standard conditions of retail licences or combined licences” there is substituted

In subsection (5)(c)(iii), at the beginning there is inserted “in a case relating to a water supply licence or licences,”.

Section 17P (competition authority's power of veto following report) is amended as follows.

For the title there is substituted “ Power of veto following report ”.

In subsection (7)(b) (persons to be served with notice of modifications proposed), in sub-paragraph (v), at the beginning there is inserted “if the reference relates to water supply licences,”.

In subsection (10) (power to make incidental and consequential modifications), for “the standard conditions of retail licences or combined licences” there is substituted

Section 17R (modification of licences by order under other enactments) is amended as follows.

For the title there is substituted “ Modification by order under other enactments ”.

In subsection (1) (power for the competition authorities and the Secretary of State to modify standard conditions in order to give effect to orders under the Enterprise Act 2002), for paragraphs (a) and (b) there is substituted—

In subsection (5) (publication of modifications), for “retail licences or combined licences” there is substituted “ water supply licences or sewerage licences ”.

Section 18 (orders for securing compliance with certain provisions) is amended as follows.

In subsection (2), after “Part or” there is inserted “ any person holding ”.

In subsection (6)(a), after “Part or” there is inserted “ a person holding ”.

Section 21 (validity of enforcement orders) is amended as follows.

In subsection (2), for “company” there is substituted “ person ”.

Section 22A (penalties) is amended as follows.

In subsection (4), in the opening words, for “company” there is substituted “ person ”.

In subsection (8)(b), for “company”, there is substituted “ person on whom the penalty is to be or has been imposed ”.

In subsection (11), for the words from “10%” to “(determined” there is substituted

Section 22C (time limits on the imposition of financial penalties) is amended as follows.

Section 22E (appeals) is amended as follows.

In subsection (1), for “company on which” there is substituted “ person on whom ”.

In subsections (2)(a) and (b) (in both places) and (4)(b), for “company” there is substituted “ person ”.

Section 23 (meaning and effect of special administration orders) is amended as follows.

In subsection (1), for “a qualifying licensed water supplier” there is substituted “ a qualifying water supply licensee or a qualifying sewerage licensee ”.

After subsection (2A) there is inserted—

In subsection (2C), for “and (2A)(b)” there is substituted “ , (2A)(b) and (2AA)(b) ”.

In subsection (4), for paragraph (b) there is substituted—

After subsection (6) there is inserted—

After subsection (7) (inserted by sub-paragraph (9)) there is inserted—

Section 24 (special administration orders made on special petitions) is amended as follows.

After subsection (1A) there is inserted—

In subsection (7)(b), for “qualifying licensed water supplier” there is substituted “ qualifying water supply licensee or a qualifying sewerage licensee ”.

Section 27 (general duty of Authority to keep matters under review) is amended as follows.

In subsection (1)(b), for “licensed water suppliers” there is substituted “ water supply licensees or sewerage licensees ”.

Section 27C (the interests of consumers) is amended as follows.

In subsection (2), for the words from “not eligible” to “the total quantity” there is substituted “ below the consumption threshold if the total quantity ”.

Section 27H (provision of information to the Council) is amended as follows.

In subsections (2), (3) and (4), after “body”, in each place, there is inserted “ or person ”.

Section 27K (sections 27H to 27J: supplementary) is amended as follows.

In subsection (2), for “or a licensed water supplier” there is substituted “ , a water supply licensee or a sewerage licensee ”.

In subsection (5), for “and a licensed water supplier” there is substituted “ , a water supply licensee and a sewerage licensee ”.

Section 29 (consumer complaints) is amended as follows.

In subsection (5)(a), for the words from “by a licensed water supplier” to “Wales” there is substituted

In subsections (8)(a) and (b) and (9), for “or the licensed water supplier” there is substituted “ , the water supply licensee or the sewerage licensee ”.

Section 39A (information to be given to customers about performance) is amended as follows.

In subsections (1) and (2A), for “licensed water suppliers”, in both places, there is substituted “ water supply licensees ”.

After subsection (1) there is inserted—

In subsection (2), for “any such direction” there is substituted “ a direction under subsection (1) or (1A) ”.

In subsection (2B), for “section 17B(5)” there is substituted “ section 17B ”.

In subsection (3), for “licensed water supplier” there is substituted “ water supply licensee ”.

Section 52 (domestic supply duty) is amended as follows.

In subsection (4A) (exclusion of certain premises), in paragraph (c), at the beginning, there is inserted “in the case of premises to be supplied using the supply system of a water undertaker whose area is wholly or mainly in Wales,”.

Section 61 (disconnections for non-payment of charges) is amended as follows.

After the subsection (1ZA) so formed there is inserted—

After subsection (2) there is inserted—

After subsection (5) there is inserted—

Section 63AA (supply by licensed water supplier: domestic supply duty) is amended as follows.

In the title, for “licensed water supplier” there is substituted “ water supply licensee ”.

In subsection (1)(a), for “licensed water supplier” there is substituted “ water supply licensee ”.

Section 63AB (supply by licensed water supplier: non-domestic supply) is amended as follows.

In the title, for “licensed water supplier” there is substituted “ water supply licensee ”.

In subsection (1), in the opening words, after “above” there is inserted “ or section 63AC(2) ”.

In subsection (1)(a), for “licensed water supplier” there is substituted “ water supply licensee ”.

Section 63AC (interim duty of water undertaker: domestic and non-domestic supply) is amended as follows.

In subsections (1)(a) and (2), for “licensed water supplier” there is substituted “ water supply licensee ”.

Section 68 (duties with respect to water quality) is amended as follows.

In the title, for “licensed water suppliers” there is substituted “ water supply licensees ”.

In subsection (3B), for “licensed water supplier” there is substituted “ water supply licensee ”.

In subsection (5), for “licensed water supplier” there is substituted “ water supply licensee ”.

After subsection (5) there is inserted—

Section 69 (regulations for preserving water quality) is amended as follows.

In subsections (1), (2), (5)(aa), (6)(b) and (c) and (7)(a)(ii) and (b), for “licensed water supplier”, in each place, there is substituted “ water supply licensee ”.

In subsections (3) and (4)(a) and (b), for “licensed water suppliers”, in each place, there is substituted “ water supply licensees ”.

In subsection (5)(aa), for “that supplier” there is substituted “ that licensee ”.

In subsections (5)(b) and (6)(b), for “or supplier”, in both places, there is substituted “ or licensee ”.

Section 74 (regulations for preventing contamination, waste etc and with respect to water fittings) is amended as follows.

In subsection (1)(b) and (d), for “licensed water supplier”, in each place, there is substituted “ water supply licensee ”.

In subsection (1)(c), for “a licensed water supplier” there is substituted “ that or another water supply licensee ”.

Section 75 (power to prevent damage and to take steps to prevent contamination, waste etc) is amended as follows.

In subsection (1A), for “licensed water supplier” there is substituted “ water supply licensee ”.

In subsection (11)(b), for “licensed water supplier” there is substituted “ water supply licensee ”.

In subsection (12), for “section 17B(5)” there is substituted “ section 17B ”.

Section 78 (local authority functions in relation to undertakers' supplies) is amended as follows.

In subsection (1)(a), for “licensed water supplier” there is substituted “ water supply licensee ”.

In subsection (3), for “section 17B(5)” there is substituted “ section 17B ”.

Section 86 (assessors for the enforcement of water quality) is amended as follows.

In subsections (2)(a)(i), (3), (4)(c)(i) and (6), for “licensed water supplier”, in each place, there is substituted “ water supply licensee ”.

In subsection (4)(c)(i), for “or supplier” there is substituted “ or licensee ”.

In subsection (6), for “it” there is substituted “ that person ”.

Section 93B (power of Authority to impose requirements on water undertakers) is amended as follows.

In subsections (1), (2), (3), (4), (5) and (6), for “licensed water supplier”, in each place, there is substituted “ water supply licensee ”.

In subsection (1), for “its performance of its duty” there is substituted “ the performance of that undertaker's or licensee's duty ”.

In subsections (2), (4), (5) and (6), for “or supplier”, in each place, there is substituted “ or licensee ”.

In subsection (2), for “its duty” there is substituted “ the undertaker's or licensee's duty ”.

In subsections (3) and (6), for “its customers”, in each place, there is substituted “ that person's customers ”.

Section 93C (publicity of requirements imposed under section 93B) is amended as follows.

In subsection (2)(b), for “or supplier” there is substituted “ or licensee ”.

Section 93D (information as to compliance with requirements under section 93B) is amended as follows.

In subsections (1), (3) and (4), for “licensed water supplier”, in each place, there is substituted “ water supply licensee ”.

In subsections (1), (2)(b) and (3), for “or supplier”, in each place, there is substituted “ or licensee ”.

In subsection (3), for “or supplier's” there is substituted “or licensee's”.

Section 96A (information to be given to customers about overall performance) is amended as follows.

In subsection (1), after “customers” there is inserted “ , and, if the direction so specifies, sewerage licensees using the undertaker's sewerage system for the purpose of providing sewerage services to the premises of customers, ”.

After subsection (1) there is inserted—

In subsection (2), for “any such direction” there is substituted “ a direction under subsection (1) or (1A) ”.

After subsection (2) there is inserted—

In subsection (3), after “undertaker” there is inserted “ or sewerage licensee ”.

Section 146 (connection charges etc) is amended as follows.

After subsection (3) there is inserted—

In subsection (5), after “certain charges” there is inserted “ by relevant undertakers ”.

Section 154A (financial assistance to reduce charges of relevant undertakers and water supply licensees) is amended as follows.

Section 162 (works in connection with metering) is amended as follows.

In subsection (1B), for “section 17B(5)” there is substituted “ section 17B ”.

After subsection (1B) there is inserted—

Section 174 (offences of interference with works etc) is amended as follows.

In subsection (2)(b), for “licensed water supplier” there is substituted “ water supply licensee ”.

Section 175 (offence of tampering with meter) is amended as follows.

In subsection (1) (offence of tampering) for “or licensed water supplier” there is substituted “ , water supply licensee or sewerage licensee ”.

Section 195 (the Authority's register) is amended as follows.

In subsection (3AA), for “licensed water supplier” there is substituted “ water supply licensee ”.

Subsection (3A) is repealed.

Section 195A (reasons for decisions) is amended as follows.

In subsection (1)(f), for “66D(1)” there is substituted “ 66CA(1) ”.

In subsection (3), after “appointment or” there is inserted “ the person holding the ”.

Section 201 (publication of certain information and advice) is amended as follows.

In subsection (1)(b), for “company” there is substituted “ person ”.

In subsection (2), after “Part II of this Act or” there is inserted “ a person holding ”.

Section 202 (duties of undertakers to furnish the Secretary of State with information) is amended as follows.

In subsection (1A), for “company”, in both places, there is substituted “ person ”.

In subsection (3), for “company”, in each place, there is substituted “ person ”.

In subsection (5), for “or licensed water supplier” there is substituted “ , water supply licensee or sewerage licensee ”.

Section 206 (restriction on disclosure of information) is amended as follows.

In subsection (3)(b), for “a licensed water supplier of any of the duties imposed on it” there is substituted “ a water supply licensee or sewerage licensee of any of the duties imposed on the licensee ”.

In subsection (5)(a), for “a licensed water supplier of activities under its licence” there is substituted “ a water supply licensee or sewerage licensee of activities under the licence held by the licensee ”.

Section 208 (directions in the interests of national security) is amended as follows.

Section 213 (powers to make regulations) is amended as follows.

After subsection (1) there is inserted—

In subsection (2)(a), for “or sewerage undertaker or licensed water supplier” there is substituted “ , sewerage undertaker, water supply licensee or sewerage licensee ”.

Section 219 (general interpretation) is amended as follows.

After subsection (10) there is inserted—

Schedule 2 (transitional provision on termination of appointments) is amended as follows.

In paragraph 2(7A)(b), for “licensed water supplier” there is substituted “ water supply licensee or sewerage licensee ”.