Part 1

Water industry
CHAPTER 4

Retail exit: non-household premises

Application for retail exit
43
1
Exit regulations about exit applications must make provision requiring a relevant undertaker to apply to the Secretary of State, and may include—
a
provision requiring a relevant undertaker to take such steps as the regulations may specify before making an application;
b
provision as to the form and manner in which an application is to be made and as to the contents of an application;
c
provision about payment to the Secretary of State of a fee of an amount specified in or determined under the regulations;
d
provision about the information that is to accompany an application;
e
provision for the Secretary of State to require a relevant undertaker to provide such further information as the Secretary of State may require in order to make a determination;
f
provision as to the grounds on which an application may be refused;
g
provision for the Secretary of State to grant an application subject to conditions.
2
Provision under subsection (1)(a) may require a relevant undertaker—
a
to consult—
i
its non-household customers and its other customers,
ii
the WSRA,
iii
the Chief Inspector of Drinking Water,
iv
the Consumer Council for Water, and
v
any other person specified in the regulations;
b
to prepare and publish a report assessing the effect on non-household customers and other customers if the undertaker withdraws from the non-household retail market;
c
to publish notice of its proposed exit application in such manner as the regulations may specify.
3
The grounds that may be specified under subsection (1)(f) include—
a
grounds relating to the public interest or to the interests of a section of the public;
b
grounds relating to the interests of non-household customers or other customers;
c
grounds relating to costs associated with a transfer of part of the relevant undertaker's undertaking;
d
grounds relating to the eligible licensee or licensees to which a transfer of part of the relevant undertaker's undertaking is proposed to be made.
4
The conditions that may be imposed under subsection (1)(g) include—
a
conditions as to the persons who are to pay the costs associated with a transfer of a part of the relevant undertaker's undertaking;
b
conditions as to the application of money received by the relevant undertaker in connection with a transfer of a part of its undertaking;
c
conditions about the relevant undertaker giving consent to modifications of the undertaker's conditions of appointment;
d
conditions about an eligible licensee to which a transfer of part of the relevant undertaker's undertaking is proposed to be made giving consent to modifications of the conditions of its water supply licence or sewerage licence;
e
conditions about the treatment of non-household customers affected by the transfer of part of the relevant undertaker's undertaking.
5
Exit regulations may make provision about how particular descriptions of customers and premises are affected by a relevant undertaker's withdrawal from the non-household retail market, including in particular any of the following—
a
premises to which the supply of water has been disconnected,
b
premises that are to be demolished,
c
premises that are temporarily unoccupied,
d
premises in relation to which the owner or occupier has served notice under section 63AA of the Water Industry Act 1991 (supply by water supply licensee: domestic supply),
e
premises in relation to which the owner or occupier has served notice under section 63AB of the Water Industry Act 1991 (supply by water supply licensee: non-domestic supply), and
f
premises in relation to which the owner or occupier has served notice under section 110K of the Water Industry Act 1991 (provision by sewerage licensee).
6
Provision under subsection (5) may include provision about how exit applications deal with particular descriptions of customers and premises.
7
Exit regulations may make provision about the disclosure by a relevant undertaker of such information as the regulations may specify about—
a
its non-household customers, and
b
the charges payable by them (whether payable under a charges scheme under section 143 of the Water Industry Act 1991 or under an agreement).
8
Exit regulations may specify—
a
the persons to whom the information may be disclosed;
b
the purposes for which it may be disclosed.
S. 43 in force at 6.4.2015 by S.I. 2015/773, art. 2(2)(b)(ii) (with art. 5)