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Water Bill [HL]


Water Bill [HL]
Schedule 8 — Minor and consequential amendments: licensing of water suppliers etc.

    181

 

              “(5A)                 A company shall not be appointed to be a relevant undertaker if it is

a licensed water supplier.”

  3       (1)      Section 18 (orders for securing compliance) is amended as follows.

          (2)      In subsection (1)—

              (a)             after “this Part” there is inserted “or a licence under Chapter 1A of

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this Part”; and

              (b)             in paragraph (a), after “appointment” there is inserted “or licence”.

          (3)      After that subsection there is inserted—

              “(1A)                Subject to subsection (2) and sections 19 and 20 below, where—

                    (a)                   in the case of any company holding an appointment under

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Chapter 1 of this Part, the Secretary of State or the Authority

is satisfied that the company—

                           (i)                          is causing or contributing to a contravention of a

condition or requirement such as is referred to in

paragraph (a)(i) or (ii) of subsection (1) above by a

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company holding a licence under Chapter 1A of this

Part; or

                           (ii)                         is likely to cause or contribute to any such

contravention; or

                    (b)                   in the case of any company holding a licence under Chapter

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1A of this Part, the Secretary of State or the Authority is

satisfied that the company—

                           (i)                          is causing or contributing to a contravention of a

condition or requirement such as is referred to in

paragraph (a)(i) or (ii) of subsection (1) above by a

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company holding an appointment under Chapter 1 of

this Part; or

                           (ii)                         is likely to cause or contribute to any such

contravention,

                                          he or it shall by a final enforcement order make such

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provision as is requisite for the purpose of securing

compliance with that condition or requirement.”

          (4)      In subsection (2)—

              (a)             after “this Part” there is inserted “or a licence under Chapter 1A of

this Part”; and

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              (b)             in paragraph (a), after “subsection (1)” there is inserted “or (1A)”.

          (5)      In subsection (4), after paragraph (a)(ii) there is inserted “or

                           (iii)                             is causing or contributing to a contravention of any

such condition or requirement; or

                           (iv)                             is likely to cause or contribute to any such

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contravention;”.

          (6)      In subsection (6)—

              (a)             in paragraph (a)—

                    (i)                   after “this Part” there is inserted “or a licence under Chapter

1A of this Part”; and

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                    (ii)                  in sub-paragraph (i), after “appointment” there is inserted “or

licence”; and

 

 

Water Bill [HL]
Schedule 8 — Minor and consequential amendments: licensing of water suppliers etc.

    182

 

              (b)             in paragraph (b), after “this Part” there is inserted “or of a licence

under Chapter 1A of this Part”.

          (7)      For subsection (8) there is substituted—

              “(8)                Where any act or omission—

                    (a)                   constitutes a contravention of a condition of an appointment

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under Chapter 1 of this Part or of a condition of a licence

under Chapter 1A of this Part or of a statutory or other

requirement enforceable under this section; or

                    (b)                   causes or contributes to a contravention of any such

condition or requirement,

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                              the only remedies for, or for causing or contributing to, that

contravention (apart from those available by virtue of this section)

shall be those for which express provision is made by or under any

enactment and those that are available in respect of that act or

omission otherwise than by virtue of its constituting, or causing or

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contributing to, such a contravention.”

  4       (1)      Section 19 (exceptions to duty to enforce) is amended as follows.

          (2)      In subsection (1), after paragraph (a) there is inserted—

                    “(aa)                      that the extent to which the company caused or contributed

to, or was likely to cause or contribute to, a contravention was

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trivial;”.

          (3)      In subsection (3), after “paragraph (a),” there is inserted “(aa),”.

  5       (1)      Section 20 (procedure for enforcement orders) is amended as follows.

          (2)      In subsection (1)—

              (a)             after “final enforcement order” there is inserted “under section 18(1)

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above”; and

              (b)             after “provisional enforcement order” there is inserted “in a case in

which section 18(4)(a)(i) or (ii) above applies”.

          (3)      After that subsection there is inserted—

              “(1A)                Before making a final enforcement order under section 18(1A) above

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or confirming a provisional enforcement order in a case in which

section 18(4)(a)(iii) or (iv) above applies, the Secretary of State or the

Authority shall give notice—

                    (a)                   stating that he or it proposes to make or confirm the order

and setting out the effect of the order;

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                    (b)                   setting out—

                           (i)                          the condition or requirement for the purposes of

securing compliance with which the order is to be

made or confirmed;

                           (ii)                         the acts or omissions which, in his or its opinion,

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cause or contribute to or would cause or contribute to

the contravention of that condition or requirement;

and

                           (iii)                        the other facts which, in his or its opinion, justify the

making or confirmation of the order; and

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                    (c)                   specifying the period (not being less than twenty-one days

from the date of publication of the notice) within which

 

 

Water Bill [HL]
Schedule 8 — Minor and consequential amendments: licensing of water suppliers etc.

    183

 

                    (c)                   representations or objections to the proposed order or

proposed confirmation may be made,

                              and shall consider any representations or objections which are duly

made and not withdrawn.”

          (4)      In subsection (2), after “subsection (1)” there is inserted “or (1A)”.

5

  6        In section 22 (effect of enforcement order), in subsection (3), after “section

68(1)(a)” there is inserted “or (1A)(a)”.

  7       (1)      Section 23 (meaning and effect of special administration order) is amended

as follows.

          (2)      In subsection (1), after “this Part” there is inserted “or which is a qualifying

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licensed water supplier”.

          (3)      In subsection (2), after “in relation to any company” there is inserted

“holding an appointment under Chapter 1 of this Part”.

          (4)      After that subsection, there is inserted—

              “(2A)                 The purposes of a special administration order made in relation to

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any company which is a qualifying licensed water supplier shall

be—

                    (a)                   the transfer to another company or companies, as a going

concern, of so much of the company’s undertaking as it is

necessary to transfer in order to ensure that activities relating

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to the introduction of water mentioned in subsection (6)(b)

below may be properly carried on; and

                    (b)                   the carrying on of those activities pending the making of the

transfer.”

          (5)      In subsection (4), for the words from “a company” to the end there is

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substituted—

                    “(a)                      a company is replaced by another as a relevant undertaker

without an appointment or variation under Chapter 1 of this

Part; or

                    (b)                      a company carries on activities relating to the introduction of

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water mentioned in subsection (6)(b) below formerly carried

on by another company,

                   in pursuance of a special administration order.”

          (6)      After subsection (5), there is inserted—

              “(6)                 For the purposes of this section, sections 24 to 26 below and Schedule

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2 to this Act, a licensed water supplier is a qualifying licensed water

supplier if—

                    (a)                   it is the holder of a combined licence (within the meaning of

Chapter 1A of this Part); and

                    (b)                   the introduction of water by it which is permitted under

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section 66B or 66C below is designated as a strategic supply

under section 66G below.”

  8       (1)      Section 24 (special administration orders made on special petitions) is

amended as follows.

          (2)      After subsection (1), there is inserted—

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              “(1A)                 If on an application made to the High Court by petition presented—

 

 

Water Bill [HL]
Schedule 8 — Minor and consequential amendments: licensing of water suppliers etc.

    184

 

                    (a)                   by the Secretary of State (after consulting the Assembly); or

                    (b)                   with the consent of the Secretary of State (after consulting the

Assembly), the Authority,

                              the Court is satisfied in relation to any company which is a qualifying

licensed water supplier that any one or more of the grounds

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specified in subsection (2) below is satisfied in relation to that

company, that Court may make a special administration order in

relation to that company.”

          (3)      In subsection (2)—

              (a)             for “subsection (1)” there is substituted “subsections (1) and (1A)”,

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              (b)             in paragraphs (a) and (b), after “appointment” there is inserted “or

licence”,

              (c)             after paragraph (b) there is inserted—

                           “(bb)                             in the case of a company which is a qualifying

licensed water supplier, that—

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                                 (i)                                action taken by the company has caused a

contravention by a water undertaker of any

principal duty; and

                                 (ii)                               that action is serious enough to make it

inappropriate for the company to continue to

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hold its licence;”,

              (d)             in paragraph (d), after “this Part” there is inserted “or was not a

qualifying licensed water supplier”, and

              (e)             in paragraph (e), at the beginning there is inserted “in the case of a

company holding an appointment under Chapter 1 of this Part,”.

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          (4)      For subsection (7) there is substituted—

              “(7)                 In this section “principal duty” means—

                    (a)                   in relation to a company holding an appointment under

Chapter 1 of this Part, a requirement imposed on the

company by section 37 or 94 below;

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                    (b)                   in relation to a company which is a qualifying licensed water

supplier, any condition of its licence or any statutory

requirement imposed on it in consequence of its licence.”

  9        In section 25 (power to make special administration order on a winding

up)—

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              (a)             after “this Part” there is inserted “or is a qualifying licensed water

supplier”; and

              (b)             in paragraph (b), after “appointment” there is inserted “or a

qualifying licensed water supplier”.

  10       In section 26 (restrictions on voluntary winding up and insolvency

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proceedings), after “this Part” there is inserted “or is a qualifying licensed

water supplier”.

  11      (1)      Section 43 (calculation of payments to undertaker in respect of provision of

water main) is amended as follows.

          (2)      In subsection (1), for “water charges payable for the use during that year of

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that main are” there is substituted “relevant revenue in respect of that main

for that year is”.

          (3)      For subsection (7) there is substituted—

 

 

 
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