In section 6 of the 1989 Act (licences authorising supply etc.), in subsection (1) (kinds of licence which may be granted), for paragraph (b) substitute—

“(b)

a licence authorising a person to participate in the transmission of electricity for that purpose (“a transmission licence”);”.

After subsection (6) of that section insert—

“(6A)

A transmission licence may authorise the holder to participate in the transmission of electricity in any area, or only in an area specified in the licence.

(6B)

The Authority may, with the consent of the holder of a transmission licence, modify terms included in the licence in pursuance of subsection (6A) above.”

In section 7 (licence conditions: general), after subsection (2) insert—

“(2A)

Without prejudice to the generality of paragraph (a) of subsection (1), conditions included in a transmission licence by virtue of that paragraph may—

(a)

require the licence holder not to carry on an activity which he would otherwise be authorised by the licence to carry on, or

(b)

restrict where he may carry on an activity which he is authorised by the licence to carry on.”