Schedules

Schedule 15Competitive tenders for electricity projects

Part 1Amendments of Electricity Act 1989

I12

After section 6B insert—

6BAMeaning of “relevant electricity project”, “relevant licence” and “relevant contract”

1

In this Part, “relevant electricity project” means a project—

a

that relates to the total system, an electricity interconnector or a multi-purpose interconnector, and

b

in relation to which criteria specified in regulations made by the Secretary of State are satisfied.

2

In subsection (1)(a), “the total system” means all transmission systems and distribution systems in Great Britain and offshore waters.

3

In this Part, “relevant licence” means—

a

a transmission licence that does not authorise the licence holder to co-ordinate and direct the flow of electricity as described in section 4(3A)(a);

b

a generation licence, a distribution licence, an interconnector licence or an MPI licence.

4

In this Part, “relevant contract” means a contract, entered into by a person with the holder of a transmission licence, a system operator electricity licence or a distribution licence (referred to in this Part as a “contract counterparty”), for the carrying out of a relevant electricity project.

5

Regulations under this section may make different provision for different purposes.

6

Before making regulations under this section, the Secretary of State must consult—

a

the Authority,

b

such holders of relevant licences as the Secretary of State considers appropriate, and

c

such other persons as the Secretary of State considers appropriate.

6BBDesignation of a delivery body

1

The Secretary of State may by regulations designate a person for the purposes of this section; and a person so designated is referred to in this Part as a “delivery body”.

2

The designation of a person for the purposes of this section has effect subject to any conditions imposed by the Secretary of State in the regulations designating the person.

3

More than one person may be designated for the purposes of this section at the same time.

4

Regulations under this section may designate different persons for different purposes.

5

The Secretary of State may by regulations revoke a person’s designation if the person ceases to meet any condition subject to which the designation has effect.

6

The Secretary of State may make indemnity payments to a delivery body (subject to subsection (9)).

7

An indemnity payment is a payment in respect of costs or expenses incurred by a delivery body in connection with judicial review proceedings in relation to anything done, or omitted to be done, in the exercise (or purported exercise) of functions conferred on the body by regulations under section 6C.

8

An indemnity payment may be made subject to such conditions as may be determined by the Secretary of State.

9

Subsection (6) does not authorise the making of a payment to the Authority (where it is designated under subsection (1)).