Energy Act 2016

21 Action by the OGA on a dispute reference

(1) On a reference of a dispute made under section 20, the OGA must decide whether the reference is to be—

(a) rejected,

(b) adjourned to enable further negotiation between the parties to the dispute, or

(c) accepted (see section 23).

(2) The OGA must issue guidance about the matters to which it will have regard when making a decision under subsection (1).

(3) As soon as reasonably practicable after the OGA has made a decision under subsection (1), it must give notice in writing stating—

(a) its decision,

(b) the reasons for the decision, and

(c) the date of the decision,

to each relevant party to the dispute, and to any other parties to the dispute who have contributed (whether by providing information or attending meetings) to the OGA’s decision-making process.

(4) The grounds on which the OGA may reject a reference include, but are not limited to, grounds that—

(a) the dispute is not a qualifying dispute;

(b) the party that referred the dispute is not a relevant party;

(c) the reference is frivolous or vexatious;

(d) there are more appropriate means available for resolving the dispute;

(e) the dispute is not sufficiently material to the fulfilment of the principal objective to warrant, in the circumstances, its consideration by the OGA;

(f) the OGA considers it unlikely that, in the circumstances, it would be able to make a satisfactory recommendation in respect of the dispute.

(5) Where the OGA adjourns a reference of a dispute—

(a) it must set a timetable in accordance with which relevant parties to the dispute are to conduct further negotiations and revert to the OGA,

(b) it may give directions with which relevant parties to the dispute are to comply during the adjournment, and

(c) it must, when the relevant parties revert to it following the adjournment, make a further decision under subsection (1) in respect of the reference.

(6) Requirements imposed by the OGA on relevant parties—

(a) under subsection (5)(a), or

(b) by directions under subsection (5)(b),

are sanctionable in accordance with Chapter 5.