PART 7

Key heat network assets

Transfer schemes
89
1
Where an operator (the “former operator”) ceases (or is to cease) operating a heat network, the Scottish Ministers may make a transfer scheme.
2
A “transfer scheme” is a scheme making provision for—
a
the transfer to one or more relevant persons of the former operator's rights relating to the use of listed assets of the heat network,
b
the conferral on one or more relevant persons of other rights relating to the use of listed assets of the heat network.
3
A transfer scheme may make incidental, supplementary, consequential or transitional provision in connection with the transfer or conferral of rights by the transfer scheme as the Scottish Ministers consider appropriate.
4
The Scottish Ministers may by regulations make further provision about transfer schemes.
5
Regulations under subsection (4) may in particular make provision about—
a
the rights that may be transferred or conferred by a transfer scheme,
b
the procedure applying in connection with the making of a transfer scheme,
c
the effect of transfers or conferrals of rights by a transfer scheme,
d
requirements that may be imposed on the former operator or a transferee in connection with the transfer or conferral of rights by a transfer scheme, including obligations to enter into such agreements with another person, or to execute such documents in favour of another person, as may be specified or described in a transfer scheme,
e
the circumstances in which a right transferred or conferred by a transfer scheme is or may be extinguished,
f
the modification of a transfer scheme.
6
In this section—
- “relevant person” means—
  1. the Scottish Ministers,
  2. the appropriate local authority,
  3. a person (other than the former operator) to whom a heat network consent relating to the operation of the heat network is granted,
- “transferee” means a relevant person to whom rights are transferred, or on whom rights are conferred, by a transfer scheme.
7
In subsection (6), in the definition of “relevant person”, the “appropriate local authority” means—
a
the local authority for the area in which the listed assets are situated, or
b
where the listed assets are situated in the area of more than one local authority—
i
the authority in whose area the greater or greatest part of the listed assets is situated, or
ii
if neither or none of those authorities falls within sub-paragraph (i), such of those authorities as is selected by the Scottish Ministers for the purposes of being a transferee.
S. 89 in force at 16.1.2023 for specified purposes by S.S.I. 2022/376, reg. 2, sch.