Conditions of heat networks licence
Section 6: Heat networks licence standard conditions
18.Subsection (1) allows the licensing authority to determine the conditions of a licence, which are referred to as the “standard conditions” (subsection (2)).
19.Subsection (3) provides that the standard conditions may include conditions that apply to all licences or to licences of a particular description. Standard conditions may include conditions that do not apply to a particular heat networks licence or a heat networks licence of a particular description and may provide for the coming into effect and suspension of the standard conditions in such manner and in such circumstances as specified in the standard conditions. Standard conditions may also include conditions relating to the standards of service to be provided by the person holding a heat networks licence.
20.Each heat networks licence incorporates the standard conditions that are relevant to it (subsection (4)). However, the licensing authority may exclude or modify any of the standard conditions on a case by case basis (subsection (5)). Before making any modification, notice of the proposed modification must be given to the applicant stating the reasons why the modification is proposed. The notice must also specify the period, being not less than 28 days from the date on which the notice was given, within which the applicant may make representations to the licensing authority (subsections (6) and (7)).
21.The licensing authority must have regard to the matters set out in subsection (8) when determining the standard conditions namely, the interests of users of thermal energy supplied by means of a heat network, the reduction of greenhouse gas emissions from the operation of heat networks, the use by heat networks of thermal energy generated from renewable sources and waste heat or cold (defined under subsection (9)).
Section 7: Heat networks licence standard conditions: supplementary
22.The licensing authority must publish the standard conditions (subsection (1)). The licensing authority must review the standard conditions from time to time and may modify the standard conditions and make modifications to the conditions of any heat network licence the licensing authority considers appropriate as a result of the modification of the standard conditions (subsection (2)).
23.Before the licensing authority makes any modifications to the standard conditions or the conditions of a heat networks licence, it must give notice of the proposed modification to every licence holder that would be affected by the modification and publish the notice. The notice must state the reasons why the modification is proposed. The notice must also specify the period, being not less than 28 days from the date on which the notice was given, within which the applicant may make representations to the licensing authority (subsection (4)). Where the standard conditions are modified, the licensing authority must publish the standard conditions as modified (subsection (5))
Section 8: Heat networks licence special conditions
24.The licensing authority may include in a heat networks licence any special conditions, in addition to the standard conditions, it considers appropriate. The licensing authority may provide in a licence that a special condition has effect, ceases to have effect or may be modified, as it considers appropriate.
