The Energy Act 2004 (Assistance for Areas with High Distribution Costs) Order 2005

Citation commencement and extent

1.—(1) This Order may be cited as the Energy Act 2004 (Assistance for Areas with High Distribution Costs) Order 2005 and shall come into force on 1st April 2005.

(2) This Order does not extend to Northern Ireland.

Interpretation

2.  In this Order—

“deposited maps” means the maps numbered 1 to 10 prepared in duplicate, marked “The Energy Act 2004 (Assistance for Areas with High Distribution Costs) Order 2005” and deposited at the Department of Trade and Industry and at the office of the Gas and Electricity Markets Authority; and

“specified area” means the area of Scotland described in Schedule 1 to this Order and shown on the deposited maps.

Scheme to provide assistance to the specified area

3.  There shall be a scheme to provide assistance for the specified area, in respect of the costs of distributing electricity within that area.

4.  The scheme shall be implemented in the manner set out in the conditions of licences referred to in articles 6 to 8 below.

Amount of assistance in the first year of the scheme

5.—(1) The scheme shall commence on 1st April 2005.

(2) The total amount required to be paid by authorised transmitters to relevant distributors under the scheme referred to at article 3 above, in respect of the year commencing on 1st April 2005, is £41,950,000 (forty one million nine hundred and fifty thousand pounds).

Modifications to licences granted to authorised suppliers

6.—(1) The standard conditions of licences granted or treated as granted to authorised suppliers under section 6(1) of the Electricity Act 1989(1) are modified by the insertion of the standard condition appearing in Schedule 2.

(2) The conditions which by virtue of section 33 of the Utilities Act 2000(2) are the standard conditions for the purposes of licences granted to authorised suppliers after this Order comes into force are modified by the insertion of the standard condition appearing in Schedule 2.

Modifications to licences granted to authorised distributors

7.—(1) The standard conditions of licences granted or treated as granted to authorised distributors under section 6(1) of the Electricity Act 1989 are modified by the insertion of the standard conditions appearing in Schedules 3, 4 and 5.

(2) The conditions which by virtue of section 33 of the Utilities Act 2000 are the standard conditions for the purposes of licences granted to authorised distributors after this Order comes into force are modified by the insertion of the standard conditions appearing in Schedules 3, 4 and 5.

Modifications to licences granted to authorised transmitters

8.—(1) The standard conditions of licences granted or treated as granted to authorised transmitters under section 6(1) of the Electricity Act 1989 are modified by the insertion of the standard conditions appearing in Schedules 6, 7, 8 and 9.

(2) The conditions which by virtue of section 33 of the Utilities Act 2000 are the standard conditions for the purposes of licences granted to authorised transmitters after this Order comes into force are modified by the insertion of the standard conditions appearing in Schedules 6, 7, 8 and 9.

Mike O'Brien

Minister of State for Energy and E-Commerce,

Department of Trade and Industry

5th March 2005