Water Act 2014

55 Modification of appointment and licence conditions

(1) The Water Services Regulation Authority may modify the conditions of appointment of a company appointed under Chapter 1 of Part 2 of the Water Industry Act 1991 to be a water or sewerage undertaker where it considers it necessary or expedient to do so in consequence of provision made by or under this Part.

(2) The Authority may modify the conditions of a licence under Chapter 1A of Part 2 of the Water Industry Act 1991 where it considers it necessary or expedient to do so in consequence of provision made by or under this Part.

(3) Where the Authority modifies—

(a) conditions of appointment under subsection (1), or

(b) conditions of a licence under subsection (2),

it may make such incidental or consequential modifications of other conditions of the appointment or, as the case may be, other conditions of the licence as it considers necessary or expedient.

(4) Before making a modification under this section, the Authority must consult—

(a) the company holding the appointment or, as the case may be, the person holding the licence;

(b) the Secretary of State;

(c) the Welsh Ministers;

(d) such other persons as the Authority thinks it appropriate to consult.

(5) The power of the Authority to modify—

(a) the conditions of a company’s appointment under subsection (1), or

(b) the conditions of a person’s licence under subsection (2),

may not be exercised after the end of the period of two years beginning with the day on which the provision in question comes into force.

(6) References in subsections (1) to (5) to provision made by or under this Part are to be treated, where particular provision made by or under this Part comes into force on a particular day for a particular purpose, as references to so much of such provision as comes into force on a particular day.

(7) References in this section to provision made by or under this Part include references to provision made under section 90 or 91 in connection with this Part.

(8) The Minister may give directions to the Authority for the purpose of securing that—

(a) the conditions of appointment of a water or sewerage undertaker are modified under this section;

(b) the conditions of a licence under Chapter 1A of Part 2 of the Water Industry Act 1991 are modified under this section.

(9) The Minister may direct the Authority not to make a modification that it proposes to make under this section.

(10) The Authority must comply with a direction under subsection (8) or (9).

(11) In this section “the Minister” means—

(a) the Secretary of State, in relation to—

(i) a water or sewerage undertaker whose area is wholly or mainly in England;

(ii) a person who holds a licence under Chapter 1A of Part 2 of the Water Industry Act 1991;

(b) the Welsh Ministers, in relation to a water or sewerage undertaker whose area is wholly or mainly in Wales.