Office of Public Sector Information
PART 2 continued
Schedule 2A (which provides for property schemes in connection with grants of offshore transmission licences) shall have effect.”
(3) In section 64 (interpretation of Part 1), after subsection (1) insert—
“(1A) An electric line is a relevant offshore line for the purposes of the definition in subsection (1) of “high voltage line” if—
(a) it is wholly or partly in an area of GB internal waters, an area of the territorial sea adjacent to the United Kingdom or an area designated under section 1(7) of the Continental Shelf Act 1964, and
(b) it is—
(i) used to convey electricity to a place in Scotland, or
(ii) constructed wholly or mainly for the purpose of conveying, to any other place, electricity generated by a generating station situated in an area mentioned in paragraph (a).
(1AA) In subsection (1A)(a) “GB internal waters” means waters in or adjacent to Great Britain which are between the mean low water mark and the seaward limits of the territorial sea adjacent to Great Britain, but do not form part of that territorial sea.”
(4) Before Schedule 3 insert the Schedule set out in Schedule 2 (property schemes).
(1) This section applies where, on or after the day on which this section comes into force, a person applies for a nuclear site licence in respect of a site to which subsection (2) applies.
(2) This subsection applies to—
(a) a site on which the person intends to construct a nuclear installation for a purpose for which a licence under section 6(1)(a) of the Electricity Act 1989 (c. 29) or Article 10(1)(a) of the Electricity (Northern Ireland) Order 1992 (S.I. 1992/231 (N.I.)) (generating licences) is required, and
(b) a site to which this section previously applied by virtue of paragraph (a) and on which the person intends to operate a nuclear installation which was constructed for such a purpose.
(3) The person must—
(a) give written notice of the application to the Secretary of State, and
(b) prepare and submit to the Secretary of State a funded decommissioning programme.
(4) A funded decommissioning programme is a programme which—
(a) makes provision for the technical matters, and
(b) specifies how the implementation of that provision, so far as it relates to the designated technical matters, is to be financed.
(5) The technical matters, in relation to a site, are—
(a) the treatment, storage, transportation and disposal of hazardous material (within the meaning of section 37 of the Energy Act 2004 (c. 20)) during the operation of a nuclear installation on the site,
(b) the decommissioning of any relevant nuclear installation and the cleaning-up of the site, and
(c) activities preparatory to the matters mentioned in paragraph (b);
and for the purposes of paragraph (a) a nuclear installation is not to be regarded as being operated at a time when it is being decommissioned.
(6) The designated technical matters, in relation to a site, are—
(a) such of the matters within subsection (5)(a) or (c) as are specified by the Secretary of State by order, and
(b) the matters within subsection (5)(b).
(7) The funded decommissioning programme must, in particular, contain—
(a) details of the steps to be taken under the programme in relation to the technical matters,
(b) estimates of the costs likely to be incurred in connection with the designated technical matters, and
(c) details of any security to be provided in connection with those costs.
(8) A person who submits a programme must pay to the Secretary of State such fee as may be determined in accordance with regulations under section 54, in respect of the costs mentioned in subsection (9), at a time determined in accordance with such regulations.
(9) The costs are those incurred by the Secretary of State in relation to the consideration of the programme, including, in particular, the costs of obtaining advice in relation to—
(a) the programme, or
(b) information required in relation to the programme in accordance with section 52(4).
(1) The Secretary of State may approve or reject a funded decommissioning programme submitted under section 45 in respect of a site.
(2) The Secretary of State may approve a programme—
(a) with or without modifications, and
(b) unconditionally or subject to conditions.
(3) A modification under subsection (2) may, in particular, impose obligations, or additional obligations, on a body corporate associated with the person who submitted the programme.
(4) The Secretary of State’s powers under subsections (1) to (3) must be exercised with the aim of securing that prudent provision is made for the technical matters (including the financing of the designated technical matters).
(5) Before deciding whether to approve or reject a programme, the Secretary of State must consult each interested body about—
(a) the programme, and
(b) any modification which it is proposed to make, or any condition it is proposed to impose,
so far as it relates to a function conferred on the interested body by or under an enactment.
(6) “Interested body” means—
(a) the Health and Safety Executive,
(b) in relation to a funded decommissioning programme for a site in England and Wales, the Environment Agency, and
(c) in relation to a funded decommissioning programme for a site in Northern Ireland, the Department of the Environment for Northern Ireland.
(7) Before approving a programme with modifications or subject to conditions, the Secretary of State must give the following persons an opportunity to make written representations about the proposed modifications or conditions—
(a) the site operator;
(b) any other person with obligations under the programme;
(c) in the case of proposed modifications, any person who would have such obligations were the modifications made.
(8) The Secretary of State may not reject a programme without informing the site operator of the reasons for doing so.
(9) The Secretary of State must act without unreasonable delay in reaching a decision as to whether to approve or reject a programme.
(10) Where a nuclear site licence has been applied for, but not yet granted, in respect of a site, references in this section to the site operator include references to the person who has applied for a nuclear site licence in respect of the site.
(1) This section applies where a person is required to submit a programme under section 45 by reason of an application made for a nuclear site licence in respect of a site.
(2) It is an offence for the person to use or permit another person to use the site, by virtue of the licence, at a time when there is no programme submitted in accordance with that requirement and approved under section 46.
(3) A person guilty of an offence under this section is liable—
(a) on summary conviction, to a fine not exceeding the statutory maximum, or
(b) on conviction on indictment, to imprisonment for a term not exceeding 2 years or to a fine, or both.
(1) Where the Secretary of State has approved a funded decommissioning programme in respect of a site, a person mentioned in subsection (2) may—
(a) propose a modification of the programme, or
(b) propose a modification of the conditions to which the approval of the programme is subject.
(2) Those persons are—
(a) the Secretary of State,
(b) the site operator, and
(c) any other person who has obligations under the programme (provided that the site operator consents to the proposed modification).
(3) A proposal under subsection (1) may, in particular, propose—
(a) that obligations, or additional obligations, be imposed on a body corporate associated with the site operator, or
(b) the removal of obligations imposed on a body corporate which is or was so associated.
(4) In subsection (1)(b) “modification of the conditions” includes the imposition of conditions where the programme was approved unconditionally.
(1) This section applies in relation to a proposal for the modification of an approved funded decommissioning programme, or of the conditions, under section 48 (but is subject to regulations under section 50).
(2) The proposal must be made by notice in writing given—
(a) if the proposal is made by the Secretary of State, to the site operator, and
(b) in any other case, to the Secretary of State.
(3) Where a proposal is made, the site operator must pay to the Secretary of State such fee as may be determined in accordance with regulations under section 54, in respect of the costs mentioned in subsection (4), at a time determined in accordance with such regulations.
(4) The costs are those incurred by the Secretary of State in relation to the consideration of the proposal, including, in particular, the costs of obtaining advice in relation to—
(a) the proposal, or
(b) information required in relation to the proposal in accordance with section 52(4).
(5) Where the Secretary of State makes the proposal, the following persons must be given the opportunity to make written representations about the proposal—
(a) the site operator;
(b) any other person with obligations under the programme;
(c) any person who would have such obligations if the proposed modification were made.
(6) The Secretary of State must—
(a) decide whether the proposed modification is to be made, and
(b) give notice of the decision, and the reasons for it, to every person who has obligations under the approved funded decommissioning programme, and
(c) if the decision is to make the modification, give such notice to any other person who will have such obligations by reason of the modification.
(7) The Secretary of State’s power under subsection (6)(a) must be exercised with the aim of securing that prudent provision is made for the technical matters (including the financing of the designated technical matters).
(8) Before deciding whether the proposed modification is to be made, the Secretary of State must consult each interested body (within the meaning of section 46(6)) in so far as the modification relates to a function conferred on the interested body by or under an enactment.
(1) The Secretary of State may make regulations disapplying section 49 in relation to modifications which—
(a) are proposed by a person within section 48(2) (other than the Secretary of State), and
(b) are of a description specified by the regulations.
(2) Before making regulations under subsection (1), the Secretary of State must consult—
(a) the Health and Safety Executive,
(b) the Environment Agency, and
(c) the Department of the Environment for Northern Ireland,
in so far as the regulations relate to a function conferred on the body by or under an enactment.
(3) The regulations may, in particular—
(a) describe a modification by reference to its financial consequences;
(b) specify that, in determining whether a modification is of a specified description or not, the cumulative financial effect of all modifications, or all modifications of a specified class, within a specified period is to be taken into account.
(4) In the case of a modification to which the regulations apply, the site operator must give notice of the modification to the Secretary of State in such manner as may be specified in the regulations.
(1) This section applies where, in the case of an approved funded decommissioning programme, a modification is made of the programme or of the conditions to which its approval is subject.
(2) The modification does not take effect until the relevant time, and from that time this Chapter has effect—
(a) in the case of a modification of the programme, as if the programme had been approved by the Secretary of State under section 46 in the modified form;
(b) in the case of a modification of the conditions to which the approval of the programme is subject, as if the Secretary of State had approved the programme under that section subject to the modified conditions.
(3) “The relevant time” means—
(a) in the case of a modification to which section 49 applies, the time specified in the notice given under section 49(6)(b) of the Secretary of State’s decision that the modification is to be made, and
(b) in the case of a modification to which regulations under section 50 apply, the time specified in the notice of the modification given to the Secretary of State in accordance with section 50(4).
(4) The time specified in a notice, as mentioned in subsection (3)(a) or (b), must not be earlier than the time the notice is given.
(1) This section applies where either Condition A or Condition B is satisfied.
(2) Condition A is that a funded decommissioning programme has been submitted to the Secretary of State under section 45 and the Secretary of State has not yet decided whether to approve or reject it.
(3) Condition B is that—
(a) a modification of a programme, or of the conditions subject to which a programme is approved, has been proposed in accordance with section 48,
(b) the modification is not one to which regulations under section 50(1) apply, and
(c) the Secretary of State has not yet decided whether the modification should be made.
(4) The Secretary of State may by notice in writing require a person within subsection (5) —
(a) to produce documents, or documents of a description, specified in the notice, or
(b) to provide information, or information of a description, specified in the notice.
(5) Those persons are—
(a) the site operator;
(b) any other person with obligations under the programme;
(c) in a case where Condition A is satisfied, any body corporate associated with the site operator and in relation to which the Secretary of State is considering making a modification under section 46 which, if made, would result in the body corporate having obligations under the programme;
(d) in a case where Condition B is satisfied, any person who would have such obligations if the proposed modification were made.
(6) A notice under subsection (4)—
(a) must specify the period within which the documents or information are to be provided or produced;
(b) may, in the case of information, require it to be provided in a manner or form specified in the notice.
(7) This section applies only to information and documents the provision or production of which the Secretary of State considers necessary for the purpose of making the decision referred to in subsection (2) or (3).
(8) If at any time it appears to the Secretary of State that a person has failed to comply with a notice under subsection (4), the Secretary of State may make an application to the High Court under this section.
(9) If, on an application under this section, the High Court decides that the person has failed to comply with the notice, it may order the person to take such steps as it directs for securing that the notice is complied with.
(10) Where a nuclear site licence has been applied for, but not yet granted, in respect of a site, references in this section to the site operator include references to the person who has applied for a nuclear site licence in respect of the site.
(1) This section applies where a funded decommissioning programme has been approved by the Secretary of State in relation to a site under section 46.
(2) The Secretary of State may by notice in writing require information relating to the operation of the programme from—
(a) the site operator;
(b) any other person who has obligations under the programme.
(3) A notice under subsection (2) may be given only for the purpose of enabling the Secretary of State to determine—
(a) whether the programme is being complied with;
(b) whether it will be possible for obligations under the programme arising at a future date to be complied with;
(c) whether the programme makes prudent provision for the technical matters (including the financing of the designated technical matters).
(4) Subsection (5) applies if the Secretary of State has reason to believe (whether as a result of information obtained under this section or otherwise)—
(a) that the programme is not being complied with,
(b) that it will not be possible for an obligation under the programme arising at a future date to be complied with, or
(c) that the programme does not make prudent provision for the matters mentioned in subsection (3)(c).
(5) The Secretary of State may by notice in writing require information from—
(a) the site operator,
(b) any other person who has obligations under the programme, or
(c) any body corporate associated with the site operator,
for the purpose of enabling the Secretary of State to determine whether to make a proposal, or the nature of any proposal to be made, under section 48 in respect of the programme.
(6) Where a notice under subsection (2) or (5) has been given, the Secretary of State may require the site operator to pay to the Secretary of State such fee in respect of costs incurred by the Secretary of State in obtaining advice in relation to the information as may be determined in accordance with regulations under section 54.
(7) A fee under subsection (6) must be paid at a time determined in accordance with regulations under section 54.
(8) If at any time it appears to the Secretary of State that a person has failed to comply with a notice under subsection (2) or (5), the Secretary of State may make an application to the High Court under this section.
(9) If, on an application under this section, the High Court decides that the person has failed to comply with the notice, it may order the person to take such steps as it directs for securing that the notice is complied with.
(1) The Secretary of State may make regulations about—
(a) the preparation, content and implementation of funded decommissioning programmes,
(b) the modification of funded decommissioning programmes under sections 48 to 51, and
(c) the modification, under those sections, of the conditions subject to which funded decommissioning programmes are approved.
(2) Regulations under this section may, in particular, make provision—
(a) about the technical matters in relation to sites to which section 45(2) applies;
(b) about the estimation of the costs likely to be incurred in connection with the designated technical matters in relation to such sites, and about the manner in which such estimates are to be verified (which may include provision requiring verification by an independent third party);
(c) about the financing of those designated technical matters, including the security to be provided for the performance of obligations imposed in respect of those matters by virtue of programmes and the establishment and maintenance, for the purposes of such security, of trusts or other arrangements to hold and accumulate funds;
(d) about payments to a site operator or another person from funds so held or accumulated;
(e) for information prescribed, or of a description prescribed, by the regulations to be supplied to the Secretary of State by persons with obligations under programmes at such intervals, or on such occasions, as may be so prescribed;
(f) enabling the Secretary of State to charge a fee to a site operator in order to recover the costs of obtaining advice in relation to information supplied in accordance with regulations under paragraph (e);
(g) about how fees payable under this Chapter are to be determined;
(h) about when fees payable under this Chapter are to be paid.
(3) Regulations under this section may include provision making it an offence to contravene specified provisions of the regulations.
(4) Where regulations under subsection (3) create an offence, they must also make provision as to the mode of trial and punishment of offences; but—
(a) any provision as to punishment on summary conviction must not authorise a fine exceeding the statutory maximum or imprisonment, and
(b) any provision as to punishment on conviction on indictment must not authorise imprisonment for a term exceeding 2 years.
(5) The Secretary of State may publish guidance about the preparation, content, modification and implementation of funded decommissioning programmes (including any matter mentioned in subsection (2)(a) to (e)).
(6) The Secretary of State must publish guidance about factors which it may be appropriate to consider in deciding whether or not—
(a) to approve a programme,
(b) to approve a programme with modifications or subject to conditions, or
(c) to make a proposed modification to a programme or the conditions subject to which it is approved.
(7) When making a decision of a kind mentioned in subsection (6), the Secretary of State must have regard to the guidance for the time being in force under this section.
(8) Before making regulations or publishing guidance under this section, the Secretary of State must consult—
(a) the Health and Safety Executive,
(b) the Environment Agency, and
(c) the Department of the Environment in Northern Ireland,
in so far as the regulations or guidance relate to functions conferred on them by or under an enactment.
(9) Subsection (8) may be satisfied by consultation before, as well as by consultation after, the commencement of this section or the passing of this Act.
(10) The Secretary of State must lay before Parliament a copy of any guidance published under this section.
(11) Guidance under this section may make different provision for different cases or circumstances.
(1) Regulations under section 54 may make provision enabling the Secretary of State to rely, in specified circumstances, on verification of financial matters by an independent third party.
(2) Regulations may, in particular, provide that for the purposes of the Secretary of State’s functions under this Chapter, the Secretary of State may—
(a) rely on estimates of costs verified by an independent third party in accordance with the regulations;
(b) rely on an independent third party’s assessment of the prudence or otherwise of any provision made for the financing of the designated technical matters.
(1) This section applies where, in relation to a site to which section 45 applies, any security for the performance of obligations relating to the designated technical matters has been provided by a person (“the security provider”) by way of a trust or other arrangements, in accordance with an approved funded decommissioning programme.
(2) In this section a reference to “the protected assets” is a reference to the security and any property or rights in which it consists.
(3) In this section “security” includes—
(a) a charge over a bank account or any other asset;
(b) a deposit of money;
(c) a performance bond or guarantee;
(d) an insurance policy;
(e) a letter of credit.
(4) The manner in which, and purposes for which, the protected assets are to be applied and enforceable (whether in the event of the security provider’s insolvency or otherwise) is to be determined in accordance with the trust or other arrangements.
(5) For the purposes of subsection (4), no regard is to be had to so much of the Insolvency Act 1986 (c. 45), the Insolvency (Northern Ireland) Order 1989 (S.I. 1989/2405 (N.I. 19)) or any other enactment or rule of law as, in its operation in relation to the security provider or any conduct of the security provider, would—
(a) prevent or restrict the protected assets from being applied in accordance with the trust or other arrangement, or
(b) prevent or restrict their enforcement for the purposes of being so applied.
(1) It is an offence for a site operator or a body corporate associated with a site operator (a “relevant person”) to fail to comply with an obligation imposed on the relevant person by an approved funded decommissioning programme in respect of the site.
(2) In proceedings against a person for an offence under this section, it is a defence for the person to prove that due diligence was exercised to avoid committing the offence.
(3) A person guilty of an offence under this section is liable—
(a) on summary conviction, to a fine not exceeding the statutory maximum, or
(b) on conviction on indictment, to imprisonment for a term not exceeding 2 years or to a fine, or both.
(1) This section applies where—
(a) a person fails to comply with an obligation imposed on the person by an approved funded decommissioning programme, or
(b) a person on whom obligations are imposed by such a programme has engaged in unlawful conduct which the Secretary of State thinks may affect the programme.
(2) In this section—
“the defaulter” means a person to whom subsection (1)(a) or (b) applies, and
“unlawful conduct” means conduct which is unlawful under the criminal law of a part of the United Kingdom.
(3) A person has engaged in unlawful conduct for the purposes of subsection (1) if—
(a) the person has been found guilty of the unlawful conduct by a court in a part of the United Kingdom,
(b) the period for an appeal against the conviction has expired, and
(c) if an appeal has been made, it has been withdrawn or finally determined.
(4) The Secretary of State may direct the defaulter to take steps which the Secretary of State considers necessary or appropriate to comply with the obligation or remedy the effects of the unlawful conduct.
(5) Before giving a direction under subsection (4), the Secretary of State must consult each interested body (within the meaning of section 46(6)) in so far as the direction relates to a function conferred on the interested body by or under an enactment.
(6) If at any time it appears to the Secretary of State that the defaulter has failed to comply with a direction under subsection (4), the Secretary of State may make an application to the High Court under this section.
(7) If, on an application under this section, the High Court decides that the defaulter has failed to comply with the direction, it may order the defaulter to take such steps as it directs for securing that the direction is complied with.
Energy Act 2008