Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) 1 Principal objectives and general duties of Secretary of State and economic (1) The principal objectives of the Secretary of State and the GEMA in carrying out their respective functions under this Part are to— (a) protect the interests of current and future transport and storage network users; (b) protect the interests of any consumers whose interests the Secretary of State or the economic regulator (as the case may be) considers may be impacted by the exercise of their respective functions under this Part; (c) promote the efficient and economic development and operation of transport and storage networks, having regard to the need for licence holders to be able to finance their licensable activities. (2) In this Part the GEMA is referred to as the “economic regulator”. (3) The Secretary of State and the economic regulator must carry out their respective functions under this Part in the manner which the Secretary of State or the economic regulator (as the case may be) considers is best calculated to further the principal objectives, wherever appropriate by— (a) promoting effective competition between persons engaged in, or in commercial activities connected with, the activities mentioned in section 2(2); (b) promoting the resilience of transport and storage networks; (c) protecting the public from dangers arising from the construction, operation and decommissioning of infrastructure used for the purposes of activities (4) In carrying out functions under this Part in accordance with the preceding provisions of this section, the Secretary of State or the economic regulator (as the case may be) (a) the principles under which regulatory activities should be transparent, accountable, proportionate, consistent and targeted only at cases in which action is needed, and any other principles appearing to the Secretary of State or the economic regulator to represent the best regulatory practice; (b) the need to contribute to the achievement of sustainable development. (5) In carrying out functions under this Part in accordance with the preceding provisions of this section the Secretary of State must have regard to the Secretary of State’s duties under sections 1 and 4(1)(b) of the Climate Change Act 2008 (carbon targets and

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (6) In carrying out functions under this Part in accordance with the preceding provisions of this section, the economic regulator must have regard to— (a) the need to assist the Secretary of State’s compliance with the duties (b) the targets specified in subsection (8). (7) In exercising their respective functions in relation to licensable activities, the Secretary of State and the economic regulator may have regard to the desirability of the efficient and effective operation of the energy system (or any part of it) in the United Kingdom or any part of the United Kingdom. (8) The targets referred to in subsection (6)(b) are— (a) the net-zero emissions target, as defined in section A1(1) of the Climate Change (Scotland) Act 2009 (asp 12); (b) the interim targets, as defined in section 2 of that Act; (c) a target in, or set under, section 1 or 2 of the Climate Change Act (Northern (d) a target in, or set under, section 29 or 30 of the Environment (Wales) Act 2016 “transport and storage network user” means a person who is, or seeks to be, a party to arrangements for carbon dioxide to be transported to a relevant site for the purpose of disposal by way of geological storage; “transport and storage networks” means infrastructure and facilities for— (a) the disposal of carbon dioxide by way of geological storage (or injection for the purposes of geological storage) at a relevant site, or (b) the transportation of carbon dioxide to a relevant site for the purpose of “relevant site” means a site that is— (i) the territorial sea adjacent to the United Kingdom, or (ii) waters in a Gas Importation and Storage Zone (within the meaning given by section 1 of the Energy Act 2008). (10) For the purposes of this Part activities are “licensable activities” if undertaking them without the authority of a licence or exemption constitutes an offence I1 S. 1 in force at 26.12.2023, see s. 334(3)(a)

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) 2 Prohibition on unlicensed activities (1) It is an offence for a person to carry on an activity within subsection (2) unless the person is authorised to do so by a licence. (a) operating a site for the disposal of carbon dioxide by way of geological (b) providing a service of transporting carbon dioxide by a licensable means of (3) In this Part “licensable means of transportation” means— (a) a pipe or system of pipes, or (b) any other means of transportation that may be specified by regulations made which falls within subsection (4). (4) A means of transportation falls within this subsection if it is used (with or without other means of transportation) for transporting carbon dioxide all or part of the way to a site for the geological storage of carbon dioxide.
(5) A person who commits an offence under this section is liable— (a) on summary conviction in England and Wales, to a fine; (b) on summary conviction in Scotland or Northern Ireland, to a fine not exceeding the statutory maximum; (c) on conviction on indictment, to a fine. (6) No proceedings may be instituted in England and Wales in respect of an offence under this section except by or on behalf of the Secretary of State or the economic regulator. (7) Regulations under subsection (3)(b) may make consequential, transitional, incidental or supplementary provision including— (a) amendments (or repeals or revocations) in any provision of this Act or any (b) provision modifying any standard conditions of licences or provision determining the conditions which are to be standard conditions for the purposes of licences authorising the undertaking of activities which are to (8) But regulations made by virtue of subsection (7)(a) may not make provision amending (or repealing or revoking) any provision of— (a) an Act of the Scottish Parliament, or an instrument made under such an Act, unless the Scottish Ministers have consented to the making of that provision; (b) a Measure or Act of Senedd Cymru, or an instrument made under such a Measure or Act, unless the Welsh Ministers have consented to the making of (c) Northern Ireland legislation, or an instrument made under Northern Ireland legislation, unless the Department for the Economy in Northern Ireland has consented to the making of that provision. (9) Regulations under subsection (3)(b) are subject to the affirmative procedure. Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (10) For the purposes of this Part the person who “operates” a site for the geological storage of carbon dioxide is the person who carries on or (where different) controls activities I2 S. 2 in force at 26.12.2023, see s. 334(3)(a) 3 Consultation on proposals for additional activities to become licensable (1) Before making regulations under section 2(3)(b), the Secretary of State must give (a) stating that the Secretary of State proposes to make regulations providing for the means of transportation in question to become a licensable means of (b) specifying a reasonable period (of not less than 28 days from the date of publication of the notice) within which representations or objections may be made with respect to the proposal, and must consider any representations or objections duly made and not withdrawn. (a) by sending a copy of the notice to the economic regulator, the appropriate devolved authorities and any other body the Secretary of State considers (b) by publishing it in such manner as the Secretary of State considers appropriate for bringing it to the attention of persons likely to be affected by such (3) For the purposes of this section the “appropriate devolved authorities” are— (a) the Welsh Ministers, if the regulations contain provision that would be within the legislative competence of Senedd Cymru if it were contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown imposed under Schedule 7B to the Government of Wales Act 2006); (b) the Scottish Ministers, if the regulations contain provision that would be within the legislative competence of the Scottish Parliament if it were contained in an Act of that Parliament; (c) the Department for the Economy in Northern Ireland, if the regulations contain (i) would be within the legislative competence of the Northern Ireland Assembly if it were contained in an Act of that Assembly, and (ii) would not, if it were contained in a Bill in the Northern Ireland Assembly, result in the Bill requiring the consent of the Secretary of State under section 8 of the Northern Ireland Act 1998. I3 S. 3 in force at 26.12.2023, see s. 334(3)(a)

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) 4 Territorial scope of prohibition Section 2(1) applies to activities in, above or below— (a) the territorial sea adjacent to the United Kingdom, or (b) waters in a Gas Importation and Storage Zone (within the meaning given by section 1 of the Energy Act 2008), as it applies to activities in the United Kingdom. I4 S. 4 in force at 26.12.2023, see s. 334(3)(a) (1) The Secretary of State may by regulations grant exemption from the prohibition (2) An exemption may be granted— (a) to a specified person, or persons of a specified class; (b) generally or to such extent as may be specified; (c) unconditionally or subject to such conditions as may be specified.
(3) Before making regulations under subsection (1) the Secretary of State must give (a) stating that the Secretary of State proposes to make such regulations and setting out the terms of the proposed regulations, (b) stating the reasons why the Secretary of State proposes to make the regulations (c) specifying the time (which must be not less than 28 days from the date of publication of the notice) within which representations with respect to the and must consider any representations which are duly made in respect of the proposals (4) The notice required by subsection (3) must be given— (a) by serving a copy of it on the economic regulator and any appropriate (b) by publishing it in such manner as the Secretary of State considers appropriate for bringing it to the attention of those likely to be affected by the proposed (5) Notice of an exemption granted to a person is to be given— (a) by serving a copy of the exemption on the person, and (b) by publishing the exemption in such manner as the Secretary of State considers appropriate for bringing it to the attention of other persons who may (6) Notice of an exemption granted to persons of a class must be given by publishing the exemption in such manner as the Secretary of State considers appropriate for bringing (a) persons of that class, and

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (b) other persons who may be affected by it. (7) An exemption may be granted— (b) for a period specified in, or determined by or under, the exemption. (8) Conditions subject to which an exemption is granted may (in particular) require any person carrying on any activity in pursuance of the exemption— (a) to comply with any direction given by a relevant authority as to such matters as are specified in the exemption or are of a description so specified, (b) to do (or not do) such things as are specified in the exemption or are of a description so specified, except so far as the Secretary of State or a relevant authority consents to the person’s not doing (or doing) them, and (c) to refer for determination by the Secretary of State or a relevant authority such questions arising under the exemption as are specified in the exemption or are of a description so specified. (9) For the purposes of this section the “appropriate devolved authorities” are— (a) the Scottish Ministers, if the regulations under subsection (1) contain provision that would be within the legislative competence of the Scottish Parliament if it were contained in an Act of that Parliament; (b) the Welsh Ministers, if those regulations contain provision that would be within the legislative competence of Senedd Cymru if it were contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown imposed under Schedule 7B to the Government of Wales Act (c) the Department for the Economy in Northern Ireland, if those regulations (i) would be within the legislative competence of the Northern Ireland Assembly if it were contained in an Act of that Assembly, and (ii) would not, if it were contained in a Bill in the Northern Ireland Assembly, result in the Bill requiring the consent of the Secretary of State under section 8 of the Northern Ireland Act 1998. (10) In subsection (8) “relevant authority” means a person specified in the conditions. I5 S. 5 in force at 26.12.2023, see s. 334(3)(a) 6 Revocation or withdrawal of exemption (1) The Secretary of State may by regulations revoke regulations by which an exemption was granted to a person or vary regulations by which more than one exemption was so granted so as to terminate any of the exemptions— (b) in accordance with any provision of the regulations by which the exemption (c) if it appears to the Secretary of State inappropriate that the exemption should

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (2) The Secretary of State may by regulations revoke regulations by which an exemption was granted to persons of a class or vary regulations by which more than one exemption was so granted so as to terminate any of the exemptions— (a) in accordance with any provision of the regulations by which the exemption (b) if it appears to the Secretary of State inappropriate that the exemption should (3) The Secretary of State may by regulations withdraw an exemption granted to persons of a class from any person of that class— (b) in accordance with any provision of the regulations by which the exemption (c) if it appears to the Secretary of State inappropriate that the exemption should continue to have effect in the case of the person. (4) Before making regulations under subsection (1) (b) or (c), (2) or (3)(b) or (c), the (a) give notice of the proposal to do so (with reasons) and of a period within which representations may be made to the Secretary of State, and (b) consider any representations which are duly made and not withdrawn.
(5) The notice under subsection (4) must be given— (a) to the economic regulator and any appropriate devolved authority, (b) where the Secretary of State is proposing to make regulations under subsection (1)(b) or (c), by serving a copy of it on the person to whom (c) where the Secretary of State is proposing to make regulations under subsection (2), by publishing it in such manner as the Secretary of State considers appropriate for bringing it to the attention of persons of the class of persons to whom the exemption was granted, and (d) where the Secretary of State is proposing to make regulations under subsection (3)(b) or (c), by serving a copy of it on the person from whom the Secretary of State proposes to withdraw the exemption. (6) For the purposes of subsection (5) the “appropriate devolved authorities” are— (a) the Scottish Ministers, if the regulations to which the notice relates contain provision that would be within the legislative competence of the Scottish Parliament if it were contained in an Act of that Parliament; (b) the Welsh Ministers, if those regulations contain provision that would be within the legislative competence of Senedd Cymru if it were contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown imposed under Schedule 7B to the Government of Wales Act (c) the Department for the Economy in Northern Ireland, if those regulations (i) would be within the legislative competence of the Northern Ireland Assembly if it were contained in an Act of that Assembly, and (ii) would not, if it were contained in a Bill in the Northern Ireland Assembly, result in the Bill requiring the consent of the Secretary of State under section 8 of the Northern Ireland Act 1998. Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (7) Regulations under this section and section 5 are subject to the negative procedure. I6 S. 6 in force at 26.12.2023, see s. 334(3)(a) Grant and conditions of licences (1) The economic regulator may grant a licence authorising a person to carry on— (a) activities falling within section 2(2)(a); (b) activities falling within section 2(2)(b). (b) is to continue in force for such period as may be specified in or determined by or under the licence, unless previously revoked in accordance with any term I7 S. 7 in force at 26.12.2023, see s. 334(3)(a) 8 Power to create licence types (1) The Secretary of State may by regulations provide that different types of licence may be granted under section 7(1) in respect of different descriptions of activity falling (2) Regulations under this section may make consequential, transitional, incidental or supplementary provision including— (a) amendments (or repeals or revocations) in any provision of this Act or any (b) provision modifying any standard conditions of licences or provision determining the conditions which are to be standard conditions for the purposes of new types of licences. (3) Before making regulations under this section containing provision within devolved competence, the Secretary of State must give notice to each relevant devolved (a) stating that the Secretary of State proposes to make regulations under this (b) specifying the period (of not less than 28 days from the date on which the notice is given) within which representations may be made with respect to the provision within the relevant devolved competence, and must consider any representations duly made and not withdrawn. (4) For the purposes of this section “relevant devolved authority” means—

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (a) the Scottish Ministers, if the regulations contain provision within Scottish (b) the Welsh Ministers, if the regulations contain provision within Welsh (c) the Department for the Economy in Northern Ireland, if the regulations contain provision within Northern Ireland devolved competence; and “the relevant devolved competence”, in relation to a relevant devolved authority, is to be construed accordingly. (5) For the purposes of this section, provision— (a) is within Scottish devolved competence if it would be within the legislative competence of the Scottish Parliament if it were contained in an Act of that (b) is within Welsh devolved competence if it would be within the legislative competence of Senedd Cymru if it were contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown imposed under Schedule 7B to the Government of Wales Act 2006); (c) is within Northern Ireland devolved competence if it— (i) would be within the legislative competence of the Northern Ireland Assembly if it were contained in an Act of that Assembly, and (ii) would not, if it were contained in a Bill in the Northern Ireland Assembly, result in the Bill requiring the consent of the Secretary of State under section 8 of the Northern Ireland Act 1998; and references to provision being within devolved competence are to provision that is within Scottish, Welsh or Northern Ireland devolved competence. (6) Regulations under this section are subject to the affirmative procedure.
I8 S. 8 in force at 26.12.2023, see s. 334(3)(a) 9 Procedure for licence applications (1) The Secretary of State, or the economic regulator with the approval of the Secretary (a) make provision about the form and manner in which an application for a (b) authorise the grantor to require that an application is accompanied by a fee for processing the application of an amount determined in accordance with (2) The Secretary of State may by regulations make provision about the procedure for applications for a licence (in addition to any provision that may be made under subsection (1)) including, for example, provision— (a) requiring that a decision to refuse a licence must be accompanied by reasons (b) imposing requirements with regard to the publication of decisions to refuse (3) Before making regulations under subsection (2) or (7) the Secretary of State must—

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (a) consult the economic regulator and the appropriate devolved authorities, and (b) specify a period of not less than 28 days within which representations or objections with respect to the proposed regulations may be made, and the Secretary of State must consider any representations or objections which are (4) Before granting a licence the economic regulator must give notice— (a) stating that the economic regulator proposes to grant the licence, (b) stating the reasons why the economic regulator proposes to grant the licence, (c) specifying the time (which must not be less than 28 days from the date of publication of the notice) within which representations or objections with respect to the proposed licence may be made, and must consider any representations or objections which are duly made and not (5) A notice under subsection (4) must be given by— (a) publishing the notice in such manner as the economic regulator considers appropriate for bringing it to the attention of persons likely to be affected by (b) sending a copy of the notice to— (i) the Scottish Ministers, if an activity that would be authorised by the proposed licence is within Scottish devolved competence; (ii) the Welsh Ministers, if an activity that would be authorised by the licence is within Welsh devolved competence; (iii) the Department for the Economy in Northern Ireland, if an activity that would be authorised by the licence is within Northern Ireland (6) Section 17(4) (activities authorised by a devolved competence) applies for the purposes of subsection (5)(b) of this section as it applies for the purposes of section 17. (7) The Secretary of State may by regulations make provision, in relation to licences, about the matters to be taken into account in determining whether an applicant for a licence should be granted the licence. (8) Regulations under this section are subject to the negative procedure. (9) Consultation before the passing of this Act is as effective for the purposes of subsections (3) and (4) as consultation after that time. (10) In this Part “grantor”, in relation to a licence or an application for a licence, means the person who grants or, as the case may be, has power to grant, the licence. (11) For the purposes of this section “appropriate devolved authority”, in relation to (a) the Scottish Ministers, if the regulations contain provision within Scottish (b) the Welsh Ministers, if the regulations contain provision within Welsh (c) the Department for the Economy in Northern Ireland, if the regulations contain provision within Northern Ireland devolved competence. Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (12) For the purposes of this section, provision— (a) is within Scottish devolved competence if it would be within the legislative competence of the Scottish Parliament if it were contained in an Act of that (b) is within Welsh devolved competence if it would be within the legislative competence of Senedd Cymru if it were contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown imposed under Schedule 7B to the Government of Wales Act 2006); (c) is within Northern Ireland devolved competence if it— (i) would be within the legislative competence of the Northern Ireland Assembly if it were contained in an Act of that Assembly, and (ii) would not, if it were contained in a Bill in the Northern Ireland Assembly, result in the Bill requiring the consent of the Secretary of State under section 8 of the Northern Ireland Act 1998. (13) The Statutory Instruments Act 1946 applies in relation to the power of the economic regulator to make regulations under subsection (1) as if the economic regulator were (14) Any sums received by the economic regulator or the Secretary of State by virtue of this section must be paid into the Consolidated Fund. I9 S. 9 in force at 26.12.2023, see s. 334(3)(a) 10 Competitive tenders for licences (1) The Secretary of State may by regulations make such provision as the Secretary of State considers appropriate for facilitating the making, in prescribed cases, of a determination on a competitive basis of the person to whom a licence is to be granted.
(2) That provision may include— (a) provision, in prescribed cases, for the publication of a proposal to grant a (b) provision for the inclusion in such a proposal of an invitation to apply for a (c) provision restricting the making of applications for a licence and imposing requirements as to the period within which they must be made; (d) provision for regulating the manner in which applications are considered and (e) provision authorising the Secretary of State to direct, in relation to a particular competition, that specified functions which would, apart from the direction, be exercisable by the economic regulator are, so far as they relate to that competition, to be exercised instead by a specified person. (3) Before making regulations under subsection (1) the Secretary of State must give notice to the economic regulator and the appropriate devolved authorities— (a) stating that the Secretary of State proposes to make regulations under this

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (b) specifying the period (of not less than 28 days from the date on which the notice is given) within which representations must be made with respect to and must consider any representations duly made and not withdrawn. (4) Regulations under subsection (1)— (a) may make provision by reference to a determination by the economic regulator or to the opinion of the economic regulator as to any matter; (b) may dispense with or supplement provision made in relation to applications (5) Regulations under subsection (1) are subject to the affirmative procedure. (6) For the purposes of subsection (3) the “appropriate devolved authorities” are— (a) the Scottish Ministers, if the regulations contain provision that would be within the legislative competence of the Scottish Parliament if it were contained in an Act of that Parliament; (b) the Welsh Ministers, if the regulations contain provision that would be within the legislative competence of Senedd Cymru if it were contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown imposed under Schedule 7B to the Government of Wales Act 2006); (c) the Department for the Economy in Northern Ireland, if the regulations contain (i) would be within the legislative competence of the Northern Ireland Assembly if it were contained in an Act of that Assembly, and (ii) would not, if it were contained in a Bill in the Northern Ireland Assembly, result in the Bill requiring the consent of the Secretary of State under section 8 of the Northern Ireland Act 1998. “competition” means a determination such as is mentioned “prescribed” means prescribed in, or determined under, regulations “specified”, in relation to a direction under subsection (2) (e), means I10 S. 10 in force at 26.12.2023, see s. 334(3)(a) 11 Conditions of general (a) such conditions (whether or not relating to the activities authorised by the licence) as appear to the grantor to be requisite or expedient having regard to the duties imposed by section 1 (principal objectives of Secretary of State and (b) conditions requiring the making to the economic regulator of a payment on the grant of the licence, or payments during the currency of the licence, or both, of such amount or amounts as may be determined by or under the licence. Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (2) Without prejudice to the generality of paragraph (a) of subsection (1) , conditions included in a licence by virtue of that paragraph may require the licence holder— (a) to comply with any direction given by the economic regulator or the Secretary of State as to such matters as are specified in the licence or are of a description (b) to consent to the disclosure of information provided in accordance with a direction given to the licence holder, (c) except in so far as the economic regulator or Secretary of State consents to the licence holder’s doing (or not doing) them, not to do (or to do) such things as are specified in the licence or are of a description so specified, (d) to refer for determination by the economic regulator or Secretary of State such questions arising under the licence, or under any document referred to in the licence, as are specified in the licence or are of a description so specified, and (e) to refer for approval by the economic regulator or the Secretary of State such things as are (or may be) required to be done under the licence, and such contracts or agreements made before the grant of the licence, as are specified in the licence or are of a description so specified. (3) Without prejudice to the generality of paragraph (a) of subsection (1), conditions in (a) provision about the revenue that the licence holder may receive in respect of its activities (the licence holder’s “allowed revenue”); (b) provision about how the licence holder’s allowed revenue is to be calculated.
(4) In subsection (3) the reference to revenue that the licence holder may receive in respect of its activities includes revenue that is calculated by reference to estimates of the licence holder’s decommissioning costs, as defined in section 92 (financing of costs (5) Without prejudice to the generality of paragraph (a) of subsection (1) , conditions which are described in subsection (6) may be included in a licence by virtue of that paragraph, in respect of circumstances where a person (“the licence holder”) holds such a licence, and another person (“the candidate”)— (a) has applied or is considering whether to apply for a licence, or (b) is considering whether to apply for financial support for carbon capture (6) The conditions in this subsection are conditions which require the licence holder to comply with a direction given by the economic regulator or the Secretary of State requiring the licence holder to provide to the candidate— (a) information in relation to the activities authorised by the licence, and (b) any other assistance the candidate may reasonably require, for the purpose of (ii) (as the case may be) apply for financial support for carbon capture (7) Conditions included in a licence may contain provision for the conditions— (a) to have effect or cease to have effect at such times and in such circumstances as may be determined by or under the conditions, or

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (b) to be modified in such manner as may be specified in the conditions at such times and in such circumstances as may be so determined. (8) Any provision included by virtue of subsection (7) in a licence is to have effect in addition to the provision made by this Part with respect to the modification of the (9) Conditions included in a licence may provide for references in the conditions to any document to operate as references to that document as revised or re-issued from time (10) Any sums received by the economic regulator in consequence of the provisions of any condition of a licence must be paid into the Consolidated Fund. I11 S. 11 in force at 26.12.2023, see s. 334(3)(a) 12 Standard conditions of licences (1) The Secretary of State may determine the conditions that are to be the standard (2) The Secretary of State must publish any standard conditions determined under subsection (1) in whatever manner the Secretary of State considers appropriate. (3) Subject to subsections (4) and (5), each condition which is a standard condition is to be incorporated by reference in each licence. (4) Subsection (3) does not apply to a licence granted before the publication of the (5) Subject to the following provisions of this section, the grantor of a licence in which standard conditions would, but for this subsection, be incorporated in accordance with subsection (3) may exclude or modify any of those standard conditions, to such extent as the grantor may consider requisite to meet the circumstances of a particular (6) Before excluding any standard conditions or making any modifications under subsection (5), the grantor must give notice— (a) stating that the grantor proposes to exclude the conditions or make the modifications and setting out the effect of so doing, (b) stating the reasons why the grantor proposes to exclude the conditions or make (c) specifying the time (which must not be less than 28 days from the date of publication of the notice) within which representations or objections with respect to the proposed exclusions or modifications may be made, and must consider any representations or objections which are duly made and not (7) A notice under subsection (6) must be given— (a) by publishing the notice in whatever manner the grantor considers appropriate for the purpose of bringing the notice to the attention of persons likely to be affected by the making of the exclusions or modifications, and

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (b) by sending a copy of the notice to the appropriate devolved authorities (if any) (8) The grantor must not exclude any conditions, or make any modifications, under subsection (5) unless the grantor is of the opinion that the exclusions or (a) the licence holder would not be unduly disadvantaged in competing with other (b) no other holder of a licence would be unduly disadvantaged in competing with other holders of such licences (including the holder of the licence). (9) If, within the time specified in the notice under subsection (6), the Secretary of State (after consulting the appropriate devolved authorities (if any)) directs the grantor not to exclude or modify any standard condition, the grantor must comply with the direction. (10) The modification under subsection (5) of part of a standard condition does not prevent any other part of the condition from continuing to be treated as a standard condition for the purposes of this Part. (11) Where, in granting a licence, the grantor excludes or modifies any standard conditions under subsection (5), the grantor must publish a notice setting out— (a) each exclusion or modification, (b) their effects, and the reason for adopting them, and (c) how the grantor has taken account of any representations or objections made in accordance with subsection (6).
(12) For the purposes of this section the “appropriate devolved authorities” are— (a) the Welsh Ministers, if provision making the exclusions and modifications proposed in the notice under subsection (6) would be within the legislative competence of Senedd Cymru if it were contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown imposed under Schedule 7B to the Government of Wales Act 2006); (b) the Scottish Ministers, if provision making the exclusions and modifications proposed in that notice would be within the legislative competence of the Scottish Parliament if it were contained in an Act of that Parliament; (c) the Department for the Economy in Northern Ireland, if provision making the exclusions and modifications proposed in that notice— (i) would be within the legislative competence of the Northern Ireland Assembly if it were contained in an Act of that Assembly, and (ii) would not, if it were contained in a Bill in the Northern Ireland Assembly, result in the Bill requiring the consent of the Secretary of State under section 8 of the Northern Ireland Act 1998. I12 S. 12 in force at 26.12.2023, see s. 334(3)(a) 13 Modification of conditions of licences (1) The economic regulator may make modifications of— (a) the conditions of a particular licence;

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (b) the standard conditions of licences. (2) Before making any modifications under this section, the economic regulator must give (a) stating that it proposes to make modifications, (b) setting out the proposed modifications and their effect, (c) stating the reasons why it proposes to make the modifications, and (d) specifying the time within which representations with respect to the proposed (3) The time specified by virtue of subsection (2)(d) may not be less than 28 days from the date of the publication of the notice. (4) A notice under subsection (2) must be given— (a) by publishing the notice in such manner as the economic regulator considers appropriate for the purpose of bringing the notice to the attention of persons likely to be affected by the making of the modifications, and (b) by sending a copy of the notice to— (i) each relevant licence holder, (ii) the Secretary of State, and (iii) the appropriate devolved authorities (if any). (5) The economic regulator must consider any representations which are duly made. (6) If, within the time specified by virtue of subsection (2)(d), the Secretary of State directs the economic regulator not to make any modification, the economic regulator must (7) Subsections (8) to (10) apply where, having complied with subsections (2) to (5), the economic regulator decides to proceed with the making of modifications of the conditions of any licence under this section. (8) The economic regulator must— (a) publish the decision and the modifications in such manner as it considers appropriate for the purpose of bringing them to the attention of persons likely to be affected by the making of the modifications, (b) state the effect of the modifications, (c) state how it has taken account of any representations duly made, and (d) state the reason for any differences between the modifications and those set out in the notice by virtue of subsection (2)(b). (9) Each modification has effect from the date specified by the economic regulator in relation to that modification (subject to the giving of a direction under paragraph 2 (10) The date specified by virtue of subsection (9) may not be less than 56 days from the publication of the decision to proceed with the making of modifications under this (11) In this section “relevant licence holder”— (a) in relation to the modification of standard conditions, means the holder of a

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (i) which is to be modified by the inclusion of any new standard (ii) which includes any standard conditions to which the modifications relate which are in effect at the time specified by virtue (b) in relation to the modification of a condition of a particular licence (other than a standard condition), means the holder of that particular licence. (12) For the purposes of this section the “appropriate devolved authorities” are— (a) the Welsh Ministers, if provision making the modifications proposed in the notice under subsection (2) would be within the legislative competence of Senedd Cymru if it were contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown imposed under Schedule 7B to the Government of Wales Act 2006); (b) the Scottish Ministers, if provision making the modifications proposed in that notice would be within the legislative competence of the Scottish Parliament if it were contained in an Act of that Parliament; (c) the Department for the Economy in Northern Ireland, if provision making the modifications proposed in that notice— (i) would be within the legislative competence of the Northern Ireland Assembly if it were contained in an Act of that Assembly, and (ii) would not, if it were contained in a Bill in the Northern Ireland Assembly, result in the Bill requiring the consent of the Secretary of State under section 8 of the Northern Ireland Act 1998. I13 S. 13 in force at 26.12.2023, see s. 334(3)(a) 14 Modification of conditions under section 13: supplementary (1) Subsections (2) and (3) apply where at any time the economic regulator modifies the conditions of licences under section 13.
(2) If the conditions modified are standard conditions, the economic regulator must— (a) also make (as nearly as possible) the same modifications of those conditions for the purposes of their incorporation in licences granted after that time, and (b) publish the modifications in such manner as it considers appropriate for the purpose of bringing them to the attention of persons likely to be affected by the making of the modifications. (3) The economic regulator may make such incidental or consequential modifications of any conditions of licences as it considers necessary or expedient. (4) The modification of part of a standard condition of a particular licence under section 13 does not prevent any other part of the condition from continuing to be regarded as a standard condition for the purposes of this Part. (5) The modification of a condition of a licence under this section has effect subject to the giving of a direction under paragraph 2 of Schedule 2 in relation to the decision to which the modification relates. Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) I14 S. 14 in force at 26.12.2023, see s. 334(3)(a) 15 Modification by order under other enactments (1) Where the CMA or (as the case may be) the Secretary of State (in this section “the relevant authority”) makes a relevant order, the order may also provide for the (a) the conditions of a particular licence, or (b) the standard conditions of licences, to such extent as may appear to the relevant authority to be necessary or expedient for the purpose of giving effect to, or taking account of, any provision made by the order. (2) In subsection (1) “relevant order” means— (a) an order under section 75, 83 or 84 of, or paragraph 5, 10 or 11 of Schedule 7 to, the Enterprise Act 2002 where— (i) one or more than one of the enterprises which have, or may have, ceased to be distinct enterprises was engaged in the carrying on of activities authorised or regulated by a licence, or (ii) one or more than one of the enterprises which will or may cease to be distinct enterprises is engaged in the carrying on of activities authorised or regulated by a licence, or (b) an order under section 160 or 161 of that Act where the feature, or combination of features, of the market or markets in the United Kingdom for goods or services which prevents, restricts or distorts competition relates to activities authorised or regulated by a licence. (3) The modification under subsection (1)(a) of part of a standard condition of a particular licence does not prevent any other part of the condition from continuing to be regarded as a standard condition for the purposes of this Part. (4) Where at any time the relevant authority modifies under subsection (1)(b) the standard conditions of licences, the relevant authority— (a) must also make (as nearly as possible) the same modifications of those conditions for the purposes of their incorporation in licences granted after that (b) may, after consultation with the economic regulator, make such incidental or consequential modifications as the relevant authority considers necessary or expedient of any conditions of licences under that provision granted before (5) Where at any time the relevant authority modifies standard conditions under subsection (4)(a) for the purposes of their incorporation in licences granted after that time, the relevant authority must publish those modifications in such manner as the relevant authority considers appropriate. (6) Expressions used in subsection (2) and in Part 3 or (as the case may be) Part 4 of the Enterprise Act 2002 have the same meanings in that subsection as in that Part. Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) I15 S. 15 in force at 26.12.2023, see s. 334(3)(a) Interim power of Secretary of State to grant licences 16 Interim power of Secretary of State to grant licences Schedule 1 makes provision about the power of the Secretary of State to grant licences I16 S. 16 in force at 26.12.2023, see s. 334(3)(a) (1) If the economic regulator considers that a termination event has arisen, or is likely to arise, the economic regulator must notify the persons mentioned in subsection (2) as soon as reasonably practicable. (b) the Scottish Ministers, if an activity authorised by the licence is within Scottish (c) the Welsh Ministers, if an activity authorised by the licence is within Welsh (d) the Department for the Economy in Northern Ireland, if an activity authorised by the licence is within Northern Ireland devolved competence; (e) the Oil and Gas Authority; (f) any affected persons not falling within paragraphs (a) to (e) that the economic regulator considers appropriate. (3) A notice under subsection (1) must specify— (a) in a case where a termination event has arisen, the date on which the economic regulator proposes to revoke the licence, and (b) in any case, the date by which any representations must be made.
(4) For the purposes of this section an activity authorised by a licence— (a) is within Scottish devolved competence if provision about that activity would be within the legislative competence of the Scottish Parliament if it were contained in an Act of that Parliament; (b) is within Welsh devolved competence if provision about that activity would be within the legislative competence of Senedd Cymru if it were contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown imposed under Schedule 7B to the Government of Wales Act

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (c) is within Northern Ireland devolved competence if provision about that (i) would be within the legislative competence of the Northern Ireland Assembly if it were contained in an Act of that Assembly, and (ii) would not, if it were contained in a Bill in the Northern Ireland Assembly, result in the Bill requiring the consent of the Secretary of State under section 8 of the Northern Ireland Act 1998. “affected person” means a person that the economic regulator considers may be affected by the decision as to whether the licence should be terminated; “termination event” means a state of affairs in which the economic regulator is authorised to revoke the licence. I17 S. 17 in force at 26.12.2023, see s. 334(3)(a) (a) is to be capable of being transferred by the licence holder, with the consent of the economic regulator, in accordance with this section and subject to any term of the licence relating to its transfer; (b) may include conditions which must be complied with before the licence can (2) A transfer may relate to the whole or any part of the licence. (3) The reference in subsection (2) to part of a licence is a reference to a part of the activities authorised by the licence (whether described by reference to activities being carried on by the licence holder or to activities which the licence holder is authorised (4) Such consent may be given subject to compliance with such modification conditions or other conditions as the economic regulator considers necessary or expedient. (5) In the case of a partial transfer, conditions imposed under subsection (4) may make, as respects so much of the licence as is proposed to be retained by the transferor, provision different from that made as respects so much of the licence as is proposed (6) Conditions imposed under subsection (4) may in particular require— (a) the transfer of rights, liabilities or property to the transferee; (b) the creation of rights in relation to property, rights or liabilities in favour of (c) the creation of other rights and liabilities as between the transferor and (7) A purported transfer of a licence is to be void—

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (a) if the licence is not capable of transfer or the economic regulator has not given (b) if the purported transfer is in breach of a condition of the licence, or (c) if there has, before the purported transfer, been a contravention of a condition subject to compliance with which the economic regulator’s consent is given. “modification condition” means a condition requiring, or otherwise providing for the making of, modifications to the conditions of a licence; “transfer” includes any form of transfer or assignment or, in Scotland, I18 S. 18 in force at 26.12.2023, see s. 334(3)(a) (1) Before giving consent to the transfer of a licence under section 18(1), the economic (a) publish a notice stating that it proposes to grant consent to the transfer, (b) send a copy of the notice to— (i) the Scottish Ministers, if an activity authorised by the licence is within (ii) the Welsh Ministers, if an activity authorised by the licence is within (iii) the Department for the Economy in Northern Ireland, if an activity authorised by the licence is within Northern Ireland devolved (iv) the Oil and Gas Authority, and (v) such other persons as the economic regulator considers are likely to be affected by the decision, and (c) consider any representations or objections that are duly made and not (2) Section 17(4) (activities authorised by a devolved competence) applies for the purposes of subsection (1)(b) of this section as it applies for the purposes of section 17. (3) A notice under subsection (1) must— (a) state the reasons why the economic regulator proposes to give consent; (b) specify any conditions the economic regulator proposes to impose (c) specify the time from the date of publication of the notice (which must not be less than two months) within which representations or objections with respect to the proposed transfer may be made, and must be published in such manner as the economic regulator considers appropriate for bringing it to the attention of persons likely to be affected by the transfer. Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023.
(See end of Document for details) (4) Subject to subsection (6), the economic regulator must, following consideration of any representations or objections under subsection (3), give the Secretary of State not less (a) any proposal to give consent to the transfer, and (b) any conditions the economic regulator proposes to impose (5) If, before the expiry of the time specified in a notice under subsection (4), the Secretary of State gives the economic regulator a direction not to consent to the transfer, the economic regulator must comply with that direction. (6) Where the Secretary of State gives no direction under subsection (5), the economic regulator may give consent to the transfer of the licence after— (a) the expiry of the time specified in the notice under subsection (4), or (b) if earlier than the time in paragraph (a), the time at which the Secretary of State informs the economic regulator that in relation to the notice no direction will be given under subsection (5). I19 S. 19 in force at 26.12.2023, see s. 334(3)(a) Appeal from decisions of the economic regulator (1) An appeal may be made to the CMA against a decision by the economic regulator to proceed with the modification of a condition of a licence under section 13. (2) An appeal may be brought under this section only by— (a) a relevant licence holder (within the meaning of section 13); (b) a transport and storage network user whose interests are materially affected (c) a qualifying body or association in the capacity of representing a person falling (3) The permission of the CMA is required for the bringing of an appeal under this section. (4) The CMA may refuse permission to bring an appeal only on one of the following (a) in relation to an appeal brought by a person falling within subsection (2)(b), that the interests of the person are not materially affected by the decision; (b) in relation to an appeal brought by a qualifying body or association, that the interests of the person represented are not materially affected by the decision; (c) in relation to any appeal— (i) that the appeal is brought for reasons that are trivial or vexatious; (ii) that the appeal has no reasonable prospect of success. (5) References in this section to a “qualifying body or association” are to a body or association whose functions are or include representing persons in respect of interests of theirs which are materially affected by the decision in question. Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (6) In this section “transport and storage network user” has the same meaning as I20 S. 20 in force at 26.12.2023, see s. 334(3)(a) (2) Except where specified otherwise in Schedule 2, the functions of the CMA with respect to an appeal under section 20 are to be carried out on behalf of the CMA by a group constituted for the purpose by the chair of the CMA under Schedule 4 to the Enterprise and Regulatory Reform Act 2013. I21 S. 21 in force at 26.12.2023, see s. 334(3)(a) 22 Determination by CMA of appeal (1) This section applies to every appeal brought under section 20. (2) In determining an appeal the CMA must have regard, to the same extent as is required of the economic regulator, to the matters to which the economic regulator must have (a) in the carrying out of its principal objectives under section 1, and (b) in the performance of its duties under that section. (3) In determining the appeal the CMA— (a) may have regard to any matter to which the economic regulator was not able to have regard in relation to the decision which is the subject of the appeal, but (b) must not, in the exercise of that power, have regard to any matter to which the economic regulator would not have been entitled to have regard in reaching its decision had it had the opportunity of doing so. (4) The CMA may allow the appeal only to the extent that it is satisfied that the decision appealed against was wrong on one or more of the following grounds— (a) that the economic regulator failed properly to have regard to any matter (b) that the economic regulator failed to give the appropriate weight to any matter (c) that the decision was based, wholly or partly, on an error of fact; (d) that the modifications fail to achieve, in whole or in part, the effect stated by the economic regulator by virtue of section 13(8)(b); (e) that the decision was wrong in law. (5) To the extent that the CMA does not allow the appeal, it must confirm the decision

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) I22 S. 22 in force at 26.12.2023, see s. 334(3)(a) 23 CMA’s powers on allowing appeal (1) This section applies where the CMA allows an appeal to any extent. (2) If the appeal is in relation to a price control decision, the CMA must do one or more (a) quash the decision (to the extent that the appeal is allowed); (b) remit the matter back to the economic regulator for reconsideration and determination in accordance with any directions given by the CMA; (c) substitute the CMA’s decision for that of the economic regulator (to the extent that the appeal is allowed) and give any directions to the economic regulator or any other party to the appeal.
(3) If the appeal is in relation to any other decision, the CMA must do one or both of the (a) quash the decision (to the extent that the appeal is allowed); (b) remit the matter back to the economic regulator for reconsideration and determination in accordance with any directions given by the CMA. (4) A direction under subsection (2) or (3) must not require a person to do anything that the person would not have power to do (apart from the direction). (5) A person to whom a direction is given under that subsection must comply with it. (6) A direction given under that subsection to a person other than the economic regulator is enforceable as if it were an order of the High Court or (in Scotland) an order of the (7) For the purposes of this section a decision is a “price control decision”, in relation to the modification of a condition of a licence, if the purpose of the condition is, in the CMA’s opinion, to limit or control the charges on, or the revenue of, the holder (8) In determining for the purposes of subsection (7) what the purpose of a condition is, the condition may be assessed on its own or in combination with any other conditions (9) In this section and section 24 any reference to a party to an appeal is to be read in I23 S. 23 in force at 26.12.2023, see s. 334(3)(a) 24 Time limits for CMA to determine an appeal

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (a) determine an appeal against a price control decision within the period of 6 months beginning with the permission date; (b) determine an appeal against any other decision within the period of 4 months beginning with the permission date. (2) Subsection (1)(a) or (b) does not apply if subsection (3) applies. (3) This subsection applies where— (a) the CMA has received representations on the timing of the determination from (b) it is satisfied that there are special reasons why the determination cannot be made within the period specified in subsection (1)(a) or (b). (4) Where subsection (3) applies, the CMA must— (a) determine an appeal against a price control decision within the period specified by it, which must not be longer than the period of 7 months beginning with the permission date; (b) determine an appeal against any other decision within the period specified by it, which must not be longer than the period of 5 months beginning with the (5) Where subsection (3) applies, the CMA must also— (a) inform the parties to the appeal of the time limit for determining the appeal, (b) publish that time limit in such manner as it considers appropriate for the purpose of bringing it to the attention of any other persons likely to be affected (6) In this section “price control decision” is to be read in accordance with section 23. (7) References in this section to the “permission date” are to the date on which the CMA gave permission to bring the appeal in accordance with section 20(3). I24 S. 24 in force at 26.12.2023, see s. 334(3)(a) 25 Determination of appeal by supplementary (1) A determination by the CMA on an appeal— (a) must be contained in an order made by the CMA; (b) must set out the reasons for the determination; (i) specified in the order, or (ii) determined in accordance with provision made in the order; (d) must be notified by the CMA to the parties to the appeal; (e) must be published by the CMA— (i) as soon as reasonably practicable after the determination is made; (ii) in such manner as the CMA considers appropriate for the purpose of bringing the determination to the attention of any person likely to be affected by it (other than a party to the appeal). Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (2) The CMA may exclude from publication under subsection (1)(e) any information (a) commercial information, the disclosure of which would, or might in the CMA’s opinion, significantly harm the legitimate business interests of an undertaking to which it relates, or (b) information relating to the private affairs of an individual, the disclosure of which would, or might in the CMA’s opinion, significantly harm the (3) The economic regulator must take such steps as it considers necessary for it to comply with an order of the CMA made by virtue of subsection (1)(a). (a) if a time is specified in (or is to be determined in accordance with) the order, (b) in any other case, within a reasonable time.
(5) Subsections (2) to (4) of section 14 (consequences of modification of standard conditions) apply where a condition of a licence is modified in accordance with section 23 as they apply where a condition of a licence is modified I25 S. 25 in force at 26.12.2023, see s. 334(3)(a) 26 Provision of information to or by the economic regulator (1) The economic regulator may provide to a person within subsection (2) such information as the economic regulator considers necessary in connection with the exercise by the economic regulator of its functions relating to the regulation of (2) The persons within this subsection are— (a) the Oil and Gas Authority; (c) the Scottish Environment Protection Agency; (e) the Health and Safety Executive; (f) the Health and Safety Executive for Northern Ireland; (j) the Department for the Economy in Northern Ireland; (k) the Northern Ireland Environment Agency;

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (m) any other person the economic regulator considers appropriate who has powers or duties conferred by or by virtue of primary legislation which the economic regulator considers relevant to the exercise of the economic regulator’s functions relating to the regulation of licensable activities. (3) The economic regulator may by notice request from a person within subsection (2) such information as the economic regulator considers necessary in connection with the exercise by the economic regulator of its functions relating to the regulation of (4) A person to whom a request is made under subsection (3) must, so far as reasonably practicable, provide the requested information within such period, and in such form and manner, as may be specified in the notice. (5) Except as provided by subsection (6), the disclosure of information under this section (a) any obligation of confidence owed by the person making the disclosure, or (b) any other restriction on the disclosure of information (however imposed). (6) This section does not authorise or require a disclosure of information if the disclosure would contravene the data protection legislation (but in determining whether a disclosure would do so, the power conferred by subsection (1) or, as the case may be, the duty under subsection (4) is to be taken into account). (7) In this section “primary legislation” means— (b) an Act of the Scottish Parliament, (c) an Act or Measure of Senedd Cymru, or (d) Northern Ireland legislation. I26 S. 26 in force at 26.12.2023, see s. 334(3)(a) 27 Power of Secretary of State to require information (1) The Secretary of State may by notice in writing require a licence holder to provide the Secretary of State with information which is reasonably required by the Secretary of State for the purposes of the Secretary of State’s functions under this Part. (2) A notice under subsection (1) must specify— (a) the form and manner in which information is to be provided, and (b) the time within which it is to be provided. (3) A licence holder may not be required under this section to provide any information that would be protected from disclosure or production in legal proceedings on grounds of legal professional privilege or, in Scotland, confidentiality of communications. (4) Except as provided by subsection (5), the disclosure of information under this section (a) any obligation of confidence owed by the licence holder making the (b) any other restriction on the disclosure of information (however imposed). Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (5) This section does not authorise or require a disclosure of information if the disclosure would contravene the data protection legislation (but in determining whether a disclosure would do so, a requirement imposed under subsection (1) is to be taken I27 S. 27 in force at 26.12.2023, see s. 334(3)(a) Other functions of the economic regulator 28 Monitoring, information gathering etc (1) The economic regulator must keep under review the carrying on in the United Kingdom and elsewhere of the following activities— (a) operating a site for the disposal of carbon dioxide by way of geological (b) providing a service of transporting carbon dioxide by a licensable means of (c) activities ancillary to activities mentioned in paragraph (a) or (b). (2) The economic regulator may, for the purpose of facilitating the performance of its functions under this Part, collect information with respect to such activities. (3) The economic regulator must give the Secretary of State or the CMA any information they may request with respect to any matter relating to the economic regulator’s I28 S. 28 in force at 26.12.2023, see s. 334(3)(a) 29 Power to require information for purposes of monitoring (1) The economic regulator may, for the purpose of exercising its functions under subsections (1) and (2) of section 28, serve a notice under subsection (2) on any licence (2) A notice under this subsection is a notice which— (a) requires the person on whom it is served to produce, at a time and place specified in the notice, to the economic regulator any documents which are specified or described in the notice and are in that person’s custody or under (b) requires that person, if they are carrying on a business, to provide to the economic regulator in the form and manner, and within the period, specified in the notice, the information specified or described in the notice.
(3) In paragraphs (a) and (b) of subsection (2) the reference to the economic regulator includes a person appointed by the economic regulator for the purpose of exercising

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (4) A person who intentionally alters, suppresses or destroys any document or record of information which that person has been required to produce by a notice under subsection (2) is guilty of an offence liable— (a) on summary conviction in England and Wales, to a fine; (b) on summary conviction in Scotland or Northern Ireland, to a fine not exceeding the statutory maximum; (c) on conviction on indictment, to a fine. (5) Except as provided by subsection (6), the disclosure of information under this section (a) any obligation of confidence owed by the person making the disclosure, or (b) any other restriction on the disclosure of information (however imposed). (6) This section does not authorise or require a disclosure of information if the disclosure would contravene the data protection legislation (but in determining whether a disclosure would do so, a requirement imposed by virtue of subsection (2) is to be I29 S. 29 in force at 26.12.2023, see s. 334(3)(a) 30 Duty to carry out impact assessment (1) This section applies where— (a) the economic regulator is proposing to do anything for the purposes of, or in connection with, the carrying out of any function exercisable by it under or (b) it appears to the economic regulator that the proposal is important; but this section does not apply if it appears to the economic regulator that the urgency of the matter makes it impracticable or inappropriate for the economic regulator to comply with the requirements of this section. (2) A proposal is important for the purposes of this section only if its implementation would be likely to do one or more of the following— (a) involve a major change in the activities carried on by the economic regulator; (b) have a significant impact on persons engaged in the capture, transportation or (c) have a significant impact on persons engaged in commercial activities connected with the capture, transportation or storage of carbon dioxide; (d) have a significant impact on the general public in the United Kingdom or in (e) have significant effects on the environment. (3) Before implementing its proposal, the economic regulator must either— (a) carry out and publish an assessment of the likely impact of implementing the (b) publish a statement setting out its reasons for thinking that it is unnecessary for it to carry out an assessment. Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (4) An assessment carried out under this section must— (a) include an assessment of the likely effects on the environment of implementing the proposal, and (b) relate to such other matters as the economic regulator considers appropriate. (5) In determining the matters to which an assessment under this section should relate, the economic regulator must have regard to such general guidance relating to the carrying out of impact assessments as it considers appropriate. (6) An assessment carried out under this section may take such form as the economic regulator considers appropriate. (7) Where the economic regulator publishes an assessment under this section— (a) it must provide an opportunity of making representations to the economic regulator about its proposal to members of the public and other persons who, in the economic regulator’s opinion, are likely to be affected to a significant extent by the proposal’s implementation, (b) the published assessment must be accompanied by a statement setting out how representations may be made, and (c) the economic regulator must not implement its proposal unless the period for making representations about the proposal has expired and it has considered all the representations that were made in that period. (8) Where the economic regulator is required (apart from this section)— (a) to consult about a proposal to which this section applies, or (b) to give a person an opportunity of making representations about it, the requirements of this section are in addition to, but may be performed contemporaneously with, the other requirements. (9) Every report under section 41 (annual reports on transport and storage licensing (a) a list of the assessments under this section carried out during the financial year to which the report relates, and (b) a summary of the decisions taken during that year in relation to proposals to which assessments carried out in that year or previous financial years relate. (10) The publication of anything under this section must be in such manner as the economic regulator considers appropriate for bringing it to the attention of the persons who, in the economic regulator’s opinion, are likely to be affected if its proposal is I30 S. 30 in force at 26.12.2023, see s. 334(3)(a) (1) This section applies to the following decisions of the economic regulator or the (a) the revocation of a licence; (b) the modification of the conditions of a licence;

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023.
(See end of Document for details) (c) the giving of any directions or consent in pursuance of a condition included in a licence by virtue of section 11(2)(a) or (c); (d) the determination of a question referred in pursuance of a condition included in a licence by virtue of section 11(2)(d); (e) the making of a final order, the making or confirmation of a provisional order or the revocation of a final order or of a provisional order which has been (2) As soon as reasonably practicable after making such a decision the economic regulator or the Secretary of State (“the decision maker”) must— (a) publish a notice stating the reasons for the decision in such manner as the decision maker considers appropriate for the purpose of bringing the matters to which the notice relates to the attention of persons likely to be interested, (b) send a copy of the notice to the licence holder to whose licence, or to whom, (3) In preparing a notice under subsection (2) the decision maker must have regard to the need for excluding, so far as that is practicable, any matter which relates to the affairs of a particular individual or body of persons (corporate or unincorporate), where the decision maker considers that publication of that matter would or might seriously and prejudicially affect the interests of that individual or body. (4) In this Part “final order” and “provisional order” have the same meaning as in Schedule 3 (see paragraph 1(12) of that Schedule). I31 S. 31 in force at 26.12.2023, see s. 334(3)(a) 32 Enforcement of obligations of licence holders Schedule 3 makes provision for the enforcement of conditions of licences and of other requirements imposed on licence holders by or under this Part. I32 S. 32 in force at 26.12.2023, see s. 334(3)(a) 33 Making of false statements etc (1) A person who, in giving any information or making any application for the purposes of any provision of this Part, or of any regulation made under any provision of this Part, makes any statement which the person knows to be false in a material particular, or recklessly makes any statement which is false in a material particular, is guilty of

Part 1 – Licensing of carbon dioxide transport and storage Chapter 1 – Licensing of activities Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (a) on summary conviction in England and Wales, to a fine; (b) on summary conviction in Scotland or Northern Ireland, to a fine not exceeding the statutory maximum; (c) on conviction on indictment, to a fine. (2) Proceedings for an offence under subsection (1) must not in England and Wales be instituted except by or with the consent of the Secretary of State or the Director of (3) Proceedings for an offence under subsection (1) must not in Northern Ireland be instituted except by or with the consent of the Director of Public Prosecutions for I33 S. 33 in force at 26.12.2023, see s. 334(3)(a) Criminal liability and procedure 34 Liability of officers of entities (1) Where an offence under this Part committed by a body corporate is proved— (a) to have been committed with the consent or connivance of an officer of the (b) to be attributable to neglect on the part of an officer of the body corporate, that officer (as well as the body corporate) commits the offence and is liable to be proceeded against and dealt with accordingly. (2) In subsection (1) “officer”, in relation to a body corporate, means— (a) any director, manager, secretary or other similar officer of the body corporate, (b) any person purporting to act in any such capacity. (3) In subsection (2) “director”, in relation to a body corporate whose affairs are managed by its members, means a member of the body corporate. (4) Where an offence under this Part is committed by a Scottish partnership and is proved to have been committed with the consent or connivance of a partner, or to be attributable to any neglect on the part of a partner, that partner (as well as the partnership) commits the offence and is liable to be proceeded against and dealt with I34 S. 34 in force at 26.12.2023, see s. 334(3)(a) (1) Proceedings for an offence under this Part may be taken, and the offence may for all incidental purposes be treated as having been committed, in any place in the United

Part 1 – Licensing of carbon dioxide transport and storage Chapter 2 – Functions with respect to competition Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (2) Section 3 of the Territorial Waters Jurisdiction Act 1878 (restriction on prosecutions) does not apply to any proceedings for an offence under this Part. (3) Proceedings for an offence under this Part alleged to have been committed in an offshore place may not be instituted in England and Wales except— (a) by the Secretary of State or a person authorised by the Secretary of State, or (b) by or with the consent of the Director of Public Prosecutions. (4) Proceedings for an offence under this Part alleged to have been committed in an offshore place may not be instituted in Northern Ireland except— (a) by the Secretary of State or a person authorised by the Secretary of State, or (b) by or with the consent of the Director of Public Prosecutions for Northern (5) In this section “offshore place” means a place in, under or over— (a) the territorial sea adjacent to the United Kingdom, or (b) waters in a Gas Importation and Storage Zone (within the meaning given by section 1 of the Energy Act 2008).
I35 S. 35 in force at 26.12.2023, see s. 334(3)(a) 36 Functions under the Enterprise Act 2002 (1) The functions to which subsection (2) applies are to be concurrent functions of the economic regulator and the CMA. (2) This subsection applies to the functions of the CMA under Part 4 of the Enterprise Act 2002 (other than sections 166, 171 and 174E) so far as those functions are exercisable by the CMA Board (within the meaning of Schedule 4 to the Enterprise and Regulatory Reform Act 2013) and relate to commercial activities connected with relevant storage (3) So far as necessary for the purposes of, or in connection with, subsections (1) and (2)— (a) references in Part 4 of the Enterprise Act 2002 to the CMA (including references in provisions of that Act applied by that Part) are to be construed as including references to the economic regulator (except in sections 166, 171 and 174E of that Act and in any other provision of that Act where the context (b) references in that Part to section 5 of that Act are to be construed as including references to section 28(1) and (2) of this Act. (4) Section 130A of the Enterprise Act 2002 is to have effect in its application in relation to the economic regulator by virtue of subsections (1) and (2)— (a) as if for subsection (1) of that section there were substituted—

Part 1 – Licensing of carbon dioxide transport and storage Chapter 2 – Functions with respect to competition Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) “(1) Where the Gas and Electricity Markets Authority— (a) is proposing to carry out its functions under section 28 (1) or (2) of the Energy Act 2023 in relation to a matter for the purposes mentioned in subsection (2), and (b) considers that the matter is one in respect of which it would be appropriate for the Gas and Electricity Markets Authority to exercise its powers under section 174 (investigation) in connection with deciding whether to make a reference under the Gas and Electricity Markets Authority must publish a notice under this section (referred to in this Part as a “market study notice”).”, and (b) as if in subsection (2)(a) of that section, for “the acquisition or supply of goods or services of one or more than one description in the United Kingdom” there were substituted “commercial activities connected with activities to which section 36(2) of the Energy Act 2023 applies”. (5) It is to be the duty of the economic regulator, for the purpose of assisting a CMA group in carrying out an investigation on a market investigation reference made by the economic regulator (under section 131 of the Enterprise Act 2002) by virtue of subsection (1), to give to the group— (a) any information which is in the economic regulator’s possession and which relates to matters falling within the scope of the investigation and— (i) is requested by the group for that purpose, or (ii) is information which, in the economic regulator’s opinion, it would be appropriate for that purpose to give to the group without any such (b) any other assistance which the group may require and which it is within the economic regulator’s power to give, in relation to any such matters, and the group must, for the purposes of carrying out any such investigation, take into account any information given to them for that purpose under this subsection. (6) In subsection (5) “CMA group” has the same meaning as in Schedule 4 to the Enterprise and Regulatory Reform Act 2013. I36 S. 36 in force at 26.12.2023, see s. 334(3)(a) 37 Functions under the Competition Act 1998 (1) The economic regulator is to be entitled to exercise, concurrently with the CMA, the functions of the CMA under the provisions of Part 1 of the Competition Act 1998 (other than sections 31D(1) to (6), 38(1) to (6), 40B(1) to (4) and 51), so far as relating (a) agreements, decisions or concerted practices of the kind mentioned in (b) conduct of the kind mentioned in section 18(1) of that Act, or which relate to the carrying on of relevant transport and storage activities. Part 1 – Licensing of carbon dioxide transport and storage Chapter 3 – Reporting requirements Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (2) So far as necessary for the purposes of, or in connection with, the provisions of subsection (1), references in Part 1 of the Competition Act 1998 to the CMA are to be read as including a reference to the economic regulator (except in sections 31D(1) to (6), 38(1) to (6), 40B(1) to (4), 51, 52(6) and (8) and 54 of that Act and in any other provision of that Act where the context otherwise requires).
I37 S. 37 in force at 26.12.2023, see s. 334(3)(a) 38 Sections 36 and 37: supplementary (1) Before the CMA or the economic regulator first exercises in relation to any matter functions which are exercisable concurrently by virtue of section 36(1) or 37(1), it (2) Neither the CMA nor the economic regulator is to exercise in relation to any matter functions which are exercisable concurrently by virtue of section 36(1) or 37(1) if functions which are so exercisable have been exercised in relation to that matter by (3) If any question arises as to whether section 36(1) or 37(1) applies to any particular case, that question is to be referred to and determined by the Secretary of State, and no objection may be taken to anything done under— (a) Part 4 of the Enterprise Act 2002, or (b) Part 1 of the Competition Act 1998 (other than sections 31D(1) to (6), 38(1) to (6), 40B(1) to (4) and 51), by or in relation to the economic regulator on the ground that it should have been done (4) In sections 36 and 37 “relevant storage and transport activities” means— (a) activities such as are mentioned in section 2(2), and (b) activities ancillary to such activities. I38 S. 38 in force at 26.12.2023, see s. 334(3)(a) (1) The economic regulator must, before each financial year, publish a document (the “transport and storage forward work programme”) containing a general description of the relevant projects, other than those comprising routine activities in the exercise of its functions, which it plans to undertake during the year. (2) That description must include the objectives of each relevant project. Part 1 – Licensing of carbon dioxide transport and storage Chapter 3 – Reporting requirements Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (3) The forward work programme for any year must also include an estimate of the overall expenditure which the economic regulator expects to incur during the year in the exercise of its relevant functions. (4) Before publishing the forward work programme for any year, the economic regulator (a) containing a draft of the transport and storage forward work programme, and (b) specifying the time within which representations or objections to the proposals and must consider any representations or objections which are duly made and not (5) The notice under subsection (4) must be published by the economic regulator in such manner as it considers appropriate for the purpose of bringing the matters contained in it to the attention of persons likely to be affected by them. (6) The economic regulator must send a copy of any notice given by it under subsection (4) (b) the Scottish Ministers, and (c) the Department for the Economy in Northern Ireland. “relevant functions” means functions of the economic regulator under this “relevant project” means a project relating to the economic regulator’s I39 S. 39 in force at 26.12.2023, see s. 334(3)(a) 40 Information in relation to CCUS strategy and policy statement (1) As soon as reasonably practicable after the designation of a statement as the CCUS strategy and policy statement for the purposes of this Part, the economic regulator must publish a document setting out the required information in relation to the statement. (2) The economic regulator must include the required information in relation to a CCUS strategy and policy statement in the transport and storage forward work programme for each financial year, subject to making such modifications to the information as the economic regulator considers appropriate from the version as last published under (3) The required information in relation to a CCUS strategy and policy statement to be set out in a document or forward work programme is— (a) the strategy the economic regulator intends to adopt for the purpose of furthering the delivery of the policy outcomes contained in the statement (both in respect of the year in or for which the document or programme is issued

Part 1 – Licensing of carbon dioxide transport and storage Chapter 3 – Reporting requirements Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (b) the things the economic regulator proposes to do in implementing that strategy (including when the economic regulator proposes to do them); (c) the ways in which the economic regulator has had regard to the strategic priorities contained in the statement in setting out the information required (4) The duty under subsection (1) does not apply if— (a) the economic regulator does not think it reasonably practicable to publish the document mentioned in that subsection before the time when the economic regulator is next required to publish a transport and storage forward work (b) the economic regulator includes the required information in that forward work (5) The duty under subsection (2) does not apply in relation to the first financial year beginning after the designation of the statement if— (a) the economic regulator does not think it reasonably practicable to include the required information in the transport and storage forward work programme (b) the economic regulator includes the required information in a document published under subsection (1). (6) The duty under subsection (2) does not apply in relation to a financial year if the Secretary of State gives notice to the economic regulator under this subsection that (a) will be withdrawn before the beginning of the year, or (b) is expected to have been withdrawn before the beginning of the year.
(7) Subsections (4) and (5) of section 39 (notice requirements) apply to a document published under subsection (1) as they apply to a transport and storage forward work “CCUS strategy and policy statement”, “policy outcomes” and “strategic priorities” have the same meaning as in Chapter 3 of Part 2 (see section 99); “designation”, in relation to a CCUS strategy and policy statement, means designation of the statement by the Secretary of State under section 99; “transport and storage forward work programme” has the meaning given I40 S. 40 in force at 26.12.2023, see s. 334(3)(a) 41 Annual report on transport and storage licensing functions (1) The economic regulator must, as soon as practicable after the end of each financial year, make to the Secretary of State a report (the “annual T&S report” for that year)

Part 1 – Licensing of carbon dioxide transport and storage Chapter 3 – Reporting requirements Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (a) the exercise of its functions under this Part during that year including a general survey of developments in respect of matters falling within the scope of those (b) the activities of the CMA during that year in respect of any references made by the economic regulator by virtue of section 36(1). (2) The annual T&S report for each year must include– (a) a report on the progress of the projects described in the transport and storage forward work programme for that year; (b) a summary of final and provisional orders made and penalties imposed by the economic regulator during the year; (c) a report on such other matters as the Secretary of State may from time to time (3) The annual T&S report for each year must also include a report on— (a) the ways in which the economic regulator has carried out its duties under section 100(1) in relation to the CCUS strategy and policy statement (so far as the statement’s designation was in effect during the whole or any (b) the extent to which the economic regulator has done the things set out under section 40 in a transport and storage forward work programme or other document as the things the economic regulator proposed to do during that year in implementing its strategy for furthering the delivery of the policy outcomes contained in the statement (see subsection (3)(b) of that section). (4) The report mentioned in subsection (3) must, in particular, include— (a) the economic regulator’s assessment of how the carrying out of its functions under this Part during the year has contributed to the delivery of the policy outcomes contained in the CCUS strategy and policy statement, and (b) if the economic regulator has failed to do any of the things mentioned in subsection (3) (b), an explanation for the failure and the actions the economic regulator proposes to take to remedy it. (5) In subsections (3) and (4)— “CCUS strategy and policy statement” and “policy outcomes” have the same meaning as in Chapter 3 of Part 2 (see section 99); “transport and storage forward work programme” has the meaning given (6) The Secretary of State must consult the economic regulator before exercising the power under subsection (2)(c) in relation to any matter. (7) The Secretary of State must– (a) lay a copy of each annual T&S report before each House of Parliament, (b) send a copy of the report to the Scottish Ministers, the Welsh Ministers and the Department for the Economy in Northern Ireland, and (c) arrange for the report to be published in such manner as the Secretary of State (8) The Scottish Ministers must lay a copy of each annual T&S report before the Scottish (9) The Welsh Ministers must lay a copy of each annual T&S report before Senedd Cymru. Part 1 – Licensing of carbon dioxide transport and storage Chapter 4 – Special administration regime Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (10) The Department for the Economy in Northern Ireland must lay a copy of each annual T&S report before the Northern Ireland Assembly. (11) In making or preparing any report under this section the economic regulator must have regard to the need for excluding, so far as practicable, any matter which relates to the affairs of a particular individual or body of persons (corporate or unincorporate), where publication of that matter would or might, in the opinion of the economic regulator, seriously and prejudicially affect the interests of that individual or body. I41 S. 41 in force at 26.12.2023, see s. 334(3)(a) Transport and storage administration orders 42 Transport and storage administration orders (1) A transport and storage administration order means an order which— (a) is made by the court in relation to a company which holds a licence under (b) directs that, while the order is in force, the affairs, business and property of the company are to be managed by a person appointed by the court. (a) a transport and storage administration order is referred to as a T&S (b) a company which holds a licence under section 7 is referred to as a T&S (c) the person appointed in relation to a T&S company for the purposes of a T&S administration order is referred to as the T&S administrator of the company. (3) The T&S administrator of a company must manage the company’s affairs, business and property, and exercise and perform all the powers and duties of a T&S administrator, so as to achieve the objective set out in section 43.
(4) In relation to a T&S administration order applying to a non-GB company, references in this section to the affairs, business and property of the company are references only— (a) to its affairs and business so far as carried on in Great Britain or a relevant (b) to its property in Great Britain or a relevant controlled place. (5) In this section, “relevant controlled place” means a controlled place within the meaning of section 17(3) to (4) of the Energy Act 2008 other than a place—

Part 1 – Licensing of carbon dioxide transport and storage Chapter 4 – Special administration regime Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (c) in, under or over so much of the internal waters and territorial sea of the United Kingdom as are adjacent to Northern Ireland. I42 S. 42 in force at 26.12.2023, see s. 334(3)(a) 43 Objective of a transport and storage administration (1) The objective of a transport and storage administration is to secure— (a) that the activities authorised by the licence of the T&S company to which the administration relates commence, or continue, in a manner which— (i) is efficient and economical, and (ii) ensures the safety and security of the transport and storage network, or the part of that network, to which the licence relates, and (b) that it becomes unnecessary, by one or both of the following means, for the T&S administration order to remain in force for that purpose. (a) the rescue as a going concern of the company subject to the T&S (b) transfers falling within subsection (3). (3) A transfer falls within this subsection if it is a transfer as a going concern— (b) as respects different parts of the undertaking of the company subject to the T&S administration order, to two or more different companies, of so much of that undertaking as it is appropriate to transfer for the purpose of achieving the objective of the transport and storage administration. (4) The means by which transfers falling within subsection (3) may be effected include, (a) a transfer of the undertaking of the company subject to the T&S administration order, or of a part of its undertaking, to a wholly-owned subsidiary of that (b) a transfer to a company of securities of a wholly-owned subsidiary to which there has been a transfer falling within paragraph (a). (5) The objective of a transport and storage administration may be achieved by a transfer falling within subsection (3) to the extent only that— (a) the rescue as a going concern of the company subject to the T&S administration order is not reasonably practicable or is not reasonably practicable without such a transfer, (b) the rescue of that company as a going concern will not achieve that objective or will not do so without such a transfer, (c) such a transfer would produce a result for the company’s creditors as a whole that is better than the result that would be produced without it, or (d) such a transfer would, without prejudicing the interests of those creditors as a whole, produce a result for the company’s members as a whole that is better than the result that would be produced without it. Part 1 – Licensing of carbon dioxide transport and storage Chapter 4 – Special administration regime Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (a) the reference to the activities authorised by the licence of the T&S company to which the administration relates includes a reference to any construction work or other activities needing to be carried out to commence those activities, and (b) the reference to the safety and security of the transport and storage network, or the part of that network, to which the licence relates includes a reference to the safety and security of any infrastructure and facilities being constructed for that network, or that part of that network.
I43 S. 43 in force at 26.12.2023, see s. 334(3)(a) Application and amendment of the Energy Act 2004 44 Application of certain provisions of the Energy Act 2004 (1) Sections 156 to 167 of, and Schedules 20 and 21 to, the Energy Act 2004 (special administration regime for energy licensees) apply in relation to a T&S administration order as they apply in relation to an energy administration order within the meaning given by section 154(1) of that Act, but with the modifications set out in subsections (2) In the application of those provisions generally— (a) for “energy administration”, in each place where it occurs, substitute “transport and storage administration”; (b) for “energy administrator”, in each place where it occurs, substitute “T&S (c) for “Great Britain”, in each place it occurs (other than paragraphs 4(2)(e) and 11(4) and (7) of Schedule 21), substitute “Great Britain or a relevant controlled (d) for “a protected energy company”, in each place where it occurs, substitute (3) In the application of Schedule 20— (a) in paragraph 32(1)(d), for the words from ““energy administration application”” to “Energy Act 2004” substitute ““transport and storage administration application” means an application to the court for a transport and storage administration order under Chapter 3 of Part 3 of the Energy Act 2004, as applied by section 44 of the Energy Act 2023”; (b) in paragraph 32(1)(e), for “section 155 of the Energy Act 2004” substitute “section 43 of the Energy Act 2023”; (c) in paragraph 36, for “section 154(4) of this Act” substitute “section 42(4) of (d) in paragraph 43, after “the Energy Act 2004” insert “and section 44 of the (e) in paragraph 44(5), after “the Energy Act 2004” insert “and section 44 of the

Part 1 – Licensing of carbon dioxide transport and storage Chapter 4 – Special administration regime Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (f) in paragraph 45, after “section 157(1)(e) of this Act” insert “as applied by section 44 of the Energy Act 2023”; (g) omit paragraph 46 (but see section 48 of this Act); (h) in paragraph 47, after “Part 1 of this Schedule” insert “and section 44 of the (4) In the application of Schedule 21— (a) for “an energy transfer scheme”, in each place where it occurs, substitute “a (b) for “old energy company”, in each place where it occurs, substitute “old T&S (c) for “new energy company”, in each place where it occurs, substitute “new (d) in paragraph 1(b), for “section 155(3)” substitute “section 43(3) of the Energy (e) in paragraph 3(1), for “an “energy transfer scheme”” substitute “a “T&S (f) in paragraphs 3(8) and 9(6), for “GEMA” substitute “— (b) the Health and Safety Executive, (c) the Oil and Gas Authority, (d) the appropriate devolved authorities (if any), and (e) such other persons as the Secretary of State considers (g) in paragraph 5, after sub-paragraph (4) insert— “(5) This paragraph also applies in relation to any licence or permit that the relevant licence mentioned in sub-paragraph (1) requires its holder to hold as it applies in relation to the relevant licence.”; (h) in paragraphs 6(3) and 11(2), for “the energy transfer scheme” substitute “the (i) in paragraph 12, for “section 155” substitute “section 43 of the Energy Act (j) after paragraph 13 insert— “14 For the purposes of paragraphs 3(8)(e) and 9(6)(e) the “appropriate devolved authorities” are— (a) the Welsh Ministers, if provision making the scheme or (as the case may be) modification would be within the legislative competence of Senedd Cymru if it were contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown imposed under Schedule 7B to the Government of Wales (b) the Scottish Ministers, if provision making the scheme or (as the case may be) modification would be within the legislative competence of the Scottish Parliament if it were contained in an Act of that Parliament.”

Part 1 – Licensing of carbon dioxide transport and storage Chapter 4 – Special administration regime Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (5) Sections 171 and 196 of the Energy Act 2004 (interpretation) apply for the purposes of the application by subsection (1) of the provisions mentioned in that subsection, but with the modifications set out in subsection (6). (6) In the application of section 171(1)— (a) insert, at the appropriate places, the following definitions— ““objective of the transport and storage administration” is to be construed in accordance with section 43 of the Energy Act 2023;”; ““relevant controlled place” has the meaning given by section 42(5) of ““T&S company” has the meaning given by section 42(2) of the Energy ““transport and storage administration order” has the meaning given by section 42(1) of the Energy Act 2023;”; ““transport and storage administration rules” means the rules made under section 411 of the 1986 Act by virtue of section 159(3) of this Act, for the purpose of giving effect to this Chapter as applied by section 44 (b) for the definition of “energy administrator” substitute— ““T&S administrator” has the meaning given by section 49 of the Energy (c) for the definition of “relevant licence” substitute— ““relevant licence” means a licence under section 7 of the Energy Act I44 S. 44 in force at 26.12.2023, see s. 334(3)(a) 45 Conduct of administration, transfer schemes etc In section 159(3) of the Energy Act 2004 (conduct of administration, transfer schemes, etc under Chapter 3 of Part 3 of that Act), for “or section 33 of the Nuclear Energy (Financing) Act 2022” substitute “, section 33 of the Nuclear Energy (Financing) Act 2022 or section 44 of the Energy Act 2023”.
I45 S. 45 in force at 26.12.2023, see s. 334(3)(a) 46 Modification of conditions of licences (1) The Secretary of State may modify the conditions of a T&S company’s licence (“the section 7 licence”) so that they include— (a) conditions relating to the recovery of amounts owed to the Secretary of State by the T&S company by virtue of, or otherwise relating to, financial assistance

Part 1 – Licensing of carbon dioxide transport and storage Chapter 4 – Special administration regime Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) given by the Secretary of State while a T&S administration order is in force in relation to the T&S company; (b) conditions relating to raising of funds for the purpose of meeting of expenses arising by virtue of the order. (2) The Secretary of State may exercise the power under subsection (1) only if a T&S administration order is in force in relation to the T&S company. (3) Before making a modification under subsection (1) , the Secretary of State must (b) if the section 7 licence authorises activities within section 2(2)(a), the person who granted any associated licence under section 18 of the Energy Act 2008, (c) such other persons as the Secretary of State considers appropriate. (4) The power to make modifications under subsection (1) includes power to make such incidental, consequential or transitional modifications as the Secretary of State considers necessary or expedient. (5) In subsection (1) (a), “financial assistance” means grants, loans, guarantees or indemnities, or any other kind of financial assistance. (6) For the purposes of this section, a licence under section 18 of the Energy Act 2008 (“the carbon storage licence”) is an “associated licence” in relation to the section 7 (a) the carbon storage licence is in respect of activities within section 17(2)(a) of (b) any part of the site to which the section 7 licence relates is within any place to which the carbon storage licence relates. I46 S. 46 in force at 26.12.2023, see s. 334(3)(a) 47 Modification under the Enterprise Act 2002 (1) The power to modify or apply enactments conferred on the Secretary of State by each of the sections of the Enterprise Act 2002 mentioned in subsection (2) includes power to make such consequential modifications of this Chapter as the Secretary of State considers appropriate in connection with any other provision made under that section. (a) sections 248 and 277 (amendments consequential on that Act); and (b) section 254 (power to apply insolvency law to foreign companies). (3) In section 170(1) of the Energy Act 2004 (modification of Chapter 3 of Part 3 of that Act under the Enterprise Act 2002), for “or section 33 of the Nuclear Energy (Finance) Act 2022” substitute “, section 33 of the Nuclear Energy (Finance) Act 2022 or section 44 of the Energy Act 2023”. Part 1 – Licensing of carbon dioxide transport and storage Chapter 4 – Special administration regime Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) I47 S. 47 in force at 26.12.2023, see s. 334(3)(a) 48 Power to make further modifications of insolvency legislation (1) The Secretary of State may by regulations— (a) provide for insolvency legislation to apply in relation to any provision made (b) make such modifications of insolvency legislation as the Secretary of State considers appropriate in relation to any provision made by or under this Chapter (including any insolvency legislation that is applied under (2) In relation to regulations under subsection (1), “insolvency legislation” means— (b) Chapter 3 of Part 3 of the Energy Act 2004, and (c) any other provision that relates to insolvency, or makes provision by reference to anything that is or may be done under the Insolvency Act 1986, and is— (i) contained in an Act passed before this Act or in the same Session, or (ii) made under an Act before the regulations come into force. (3) Provision made under subsection (1) may amend this Chapter. (4) Regulations under this section are subject to the affirmative procedure. I48 S. 48 in force at 26.12.2023, see s. 334(3)(a) 49 Interpretation of Chapter 4 “business”, “member” and “property” have the same meanings as in the (a) a company registered under the Companies Act 2006, or “court”, in relation to a company, means the court— (a) having jurisdiction to wind up the company, or (b) that would have such jurisdiction apart from section 221(2) or 441(2) of the Insolvency Act 1986 (exclusion of winding up jurisdiction in case of companies having principal place of business in, or incorporated in, “modification” includes omission, addition or alteration, and cognate expressions are to be construed accordingly;

Part 1 – Licensing of carbon dioxide transport and storage Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023.
(See end of Document for details) “non-GB company” means a company incorporated outside Great Britain; “objective of a transport and storage administration” is to be construed in “subsidiary” and “wholly-owned subsidiary” have the meaning given by section 1159 of the Companies Act 2006; “T&S administration order” (or “transport and storage administration order”) has the meaning given by section 42(1); “T&S administrator” has the meaning given by section 42(2)(c) and is to be construed in accordance with subsection (2) of this section; “T&S company” has the meaning given by section 42(2)(b); “unregistered company” means a company that is not registered under the (2) In this Chapter references to the T&S administrator of a company— (a) include references to a person appointed under paragraph 91 or 103 of Schedule B1 to the Insolvency Act 1986, as applied by Part 1 of Schedule 20 to the Energy Act 2004 and section 44 of this Act to be the T&S administrator (b) where two or more persons are appointed to be the T&S administrator of that company, are to be construed in accordance with the provision made under section 158(5) of the Energy Act 2004, as applied by section 44 of this Act. I49 S. 49 in force at 26.12.2023, see s. 334(3)(a) (1) This section applies where— (a) a termination event has arisen in relation to a licence, and (b) the economic regulator has complied with its duties under section 17 in relation to the termination event. (2) The Secretary of State may make a scheme for the transfer of designated property, rights or liabilities of the licence holder to a person falling within subsection (3), or two or more of those persons, with the objective of— (a) securing that the activities authorised by the licence continue in a manner (i) is efficient and economical, and (ii) ensures the safety and security of the transport and storage network, or the part of that network, to which the licence relates, or (b) facilitating the cessation of the transportation and injection of carbon dioxide authorised by the licence and ensuring the safety and security of the transport and storage network, or the part of that network, to which the licence relates. Part 1 – Licensing of carbon dioxide transport and storage Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (3) The persons to whom a scheme may transfer designated property, rights or liabilities (b) any person the Secretary of State considers to be an appropriate person to achieve the objective in subsection (2)(a) or (as the case may be) (b). (4) In determining whether a person is an appropriate person for the purposes of subsection (3)(b), the Secretary of State must take into account whether the person would be able to meet the conditions and requirements of any licence or permit that would be transferred to the person under the proposed scheme. (5) The Secretary of State may not make a scheme without the consent of— (b) where the scheme would transfer designated property, rights and liabilities to a person or persons falling within subsection (3)(b), each such person. “designated”, in relation to a scheme, means specified in or determined in “termination event” has the meaning given by section 17. I50 S. 50 in force at 26.12.2023, see s. 334(3)(a) 51 Consultation in relation to transfers (1) If the Secretary of State proposes to make a scheme under section 50, the Secretary of State must consult the licence holder mentioned in section 50(2) (“the proposed transferor”) before making the scheme. (2) If the Secretary of State proposes to make a scheme under section 50 which transfers designated property, rights or liabilities to a person or persons falling within section 50(3)(b) (“the proposed transferee or transferees”), the Secretary of State must consult before making the scheme— (a) the proposed transferee or transferees, and (b) where a proposed transferee is not a public authority— (ii) the Health and Safety Executive, (iii) the Oil and Gas Authority, (iv) the appropriate devolved authorities (if any), and (v) such other persons as the Secretary of State considers appropriate. (3) The matters on which the Secretary of State is to consult the proposed transferor, and the proposed transferee or transferees, must include the provision the proposed scheme (4) The matters on which the Secretary of State is to consult a body or person falling within subsection (2)(b)(i) to (v) must include whether the proposed transferee is an appropriate person, or whether the proposed transferees are appropriate persons, for the purposes of section 50(3)(b). Part 1 – Licensing of carbon dioxide transport and storage Chapter 6 – Miscellaneous and general Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (5) For the purposes of subsection (2)(b)(iv) the “appropriate devolved authorities” are— (a) the Welsh Ministers, if provision making the proposed scheme would be within the legislative competence of Senedd Cymru if it were contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown imposed under Schedule 7B to the Government of Wales Act (b) the Scottish Ministers, if provision making the proposed scheme would be within the legislative competence of the Scottish Parliament if it were contained in an Act of that Parliament; (c) the Department for the Economy in Northern Ireland, if provision making the (i) would be within the legislative competence of the Northern Ireland Assembly if it were contained in an Act of that Assembly, and (ii) would not, if it were contained in a Bill in the Northern Ireland Assembly, result in the Bill requiring the consent of the Secretary of State under section 8 of the Northern Ireland Act 1998.
(6) In this section, “designated” has the same meaning as in section 50. I51 S. 51 in force at 26.12.2023, see s. 334(3)(a) 52 Conduct of transfer schemes Schedule 4 contains further provision about transfer schemes under section 50. I52 S. 52 in force at 26.12.2023, see s. 334(3)(a) 53 Cooperation of storage licensing authority with economic regulator (1) In Chapter 3 of Part 1 of the Energy Act 2008 (storage of carbon dioxide), after “34A Cooperation with economic regulator (1) This section applies where a licence holder also holds a relevant licence. (2) The licensing authority who granted the licence to the licence holder must provide such assistance as the economic regulator may reasonably require in carrying out its functions in relation to the relevant licence. Part 1 – Licensing of carbon dioxide transport and storage Chapter 6 – Miscellaneous and general Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (3) The licensing authority must, in particular, inform the economic regulator if (a) circumstances that have arisen, or are likely to arise, in relation to the activities authorised by the licence which, in the opinion of the licensing authority, could affect the carrying on of activities authorised by the relevant licence; (b) circumstances that have arisen, or are likely to arise, in which the licence or a storage permit granted under the licence may be “economic regulator” has the same meaning as in Part 1 of the Energy Act 2023 (see section 55 of that Act); “relevant licence” means a licence under section 7 of the Energy “storage permit” means a storage permit within the meaning of— (a) regulation 1(3) of the Storage of Carbon Dioxide (Licensing etc) Regulations 2010 (S.I. 2010/2221), or (b) regulation 1(3) of the Storage of Carbon Dioxide (Licensing etc) (Scotland) Regulations 2011 (S.S.I. 2011/24). 34B Information sharing with economic regulator (1) A licensing authority may provide information relating to a licence or a storage permit granted under a licence to the economic regulator for the purpose of enabling or facilitating the exercise of the economic regulator’s functions in relation to a relevant licence. (2) Except as provided by subsection (3), the disclosure of information under this (a) any obligation of confidence owed by the person making the (b) any other restriction on the disclosure of information (however (3) This section does not authorise or require a disclosure of information if the disclosure would contravene the data protection legislation (but in determining whether a disclosure would do so, the power conferred by subsection (1) is to be taken into account). “the data protection legislation” has the same meaning as in the Data Protection Act 2018 (see section 3 of that Act); “economic regulator”, “relevant licence” and “storage permit” have the same meaning as in section 34A; “information” includes advice.” (2) In section 8 of the Energy Act 2016 (matters to which the Oil and Gas Authority must have regard), in subsection (1), in the paragraph headed “Collaboration”, after “government of the United Kingdom” insert “, with the Gas and Electricity Markets

Part 1 – Licensing of carbon dioxide transport and storage Chapter 6 – Miscellaneous and general Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) I53 S. 53 in force at 26.12.2023, see s. 334(3)(a) 54 Amendments related to Part 1 Schedule 5 contains amendments related to this Part. I54 S. 54 in force at 26.12.2023, see s. 334(3)(a) “carbon dioxide stream” means a flow of substances that results from carbon “CMA” means the Competition and Markets Authority; “contravention”, in relation to any direction, condition, requirement, regulation or order, includes any failure to comply with it and cognate expressions are to be construed accordingly; “the data protection legislation” has the same meaning as in the Data Protection Act 2018 (see section 3 of that Act); “economic regulator” has the meaning given by section 1(2); (a) an enactment contained in subordinate legislation (as defined in section 21 of the Interpretation Act 1978); (b) an enactment contained in, or in an instrument made under, a Measure or (c) an enactment contained in, or in an instrument made under, an Act of the (d) an enactment contained in, or in an instrument made under, Northern (e) any retained direct EU legislation; “final order” has the meaning given by section 31(4); “financial year” means a financial year of the economic regulator; “functions” includes powers and duties; “geological formation” means a lithostratigraphical subdivision within which distinct rock layers can be found and mapped; “geological storage”, in relation to carbon dioxide, means storage of carbon dioxide streams in underground geological formations with a view to the permanent containment of carbon dioxide (and references to geological storage are to be read as including injection); “grantor” has the meaning given by section 9(10); “licence”, except where the context otherwise requires, means a licence under section 7, and “licence holder” is to be interpreted accordingly; “licensable activities” has the meaning given by section 1(10);

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) “licensable means of transportation” has the meaning given by section 2(3); “modifications” includes additions, alterations and omissions and cognate expressions are to be construed accordingly; “operates”, in relation to a site for the geological storage of carbon dioxide, is to be interpreted in accordance with section 2(10); “provisional order” has the meaning given by section 31(4); “transport and storage network” has the meaning given by section 1.
I55 S. 55 in force at 26.12.2023, see s. 334(3)(a) “allocation body” has the meaning given by section 73(6)(d); “allocation notification” has the meaning given by section 75(3); “carbon capture allocation body” has the meaning given “carbon capture counterparty” has the meaning given by section 67(3); “carbon capture entity” has the meaning given by section 67(7); “carbon capture revenue support contract” has the meaning given “carbon dioxide transport and storage counterparty” has the meaning given “carbon dioxide transport and storage revenue support contract” has the meaning given by section 59(2); “eligible carbon capture entity” is to be interpreted in accordance with regulations by virtue of section 68(4); “eligible hydrogen storage provider” is to be interpreted in accordance “eligible hydrogen transport provider” is to be interpreted in accordance “eligible low carbon hydrogen producer” is to be interpreted in accordance with regulations by virtue of section 66(4);

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) “GB gas shipper” means a person who holds a licence under section 7A(2) “hydrogen levy administrator” has the meaning given by section 69(6); “hydrogen production allocation body” has the meaning given “hydrogen production counterparty” has the meaning given “hydrogen production revenue support contract” has the meaning given “hydrogen storage counterparty” has the meaning given by section 63(3); “hydrogen storage provider” has the meaning given by section 63(7); “hydrogen storage revenue support contract” has the meaning given “hydrogen transport counterparty” has the meaning given by section 61(3); “hydrogen transport provider” has the meaning given by section 61(7); “hydrogen transport revenue support contract” has the meaning given “low carbon hydrogen producer” has the meaning given by section 65(7); “Northern Ireland gas shipper” means a person who holds a licence under Article 8(1)(c) of the Gas (Northern Ireland) Order 1996 (S.I. 1996/275 (N.I. 2)) and who in the opinion of the Secretary of State carries on an activity which is similar to an activity that (in Great Britain) may be authorised by a licence under section 7A(2) of the Gas Act 1986; “relevant market participant” has the meaning given by section 70(8); “revenue support contract” has the meaning given by section 57(2); “revenue support counterparty” has the meaning given by section 58(6); “revenue support regulations” has the meaning given by section 57(4). (2) In this Chapter references to “allocating” a hydrogen production revenue support contract or carbon capture revenue support contract to a person are to be interpreted in accordance with section 73(6). I56 S. 56 in force at Royal Assent, see s. 334(2)(a)(i) Provision of revenue support under certain contracts (1) The Secretary of State may by regulations make provision about revenue support contracts (including the funding of liabilities and costs in relation to such contracts). (2) In this Chapter “revenue support contract” means— (a) a carbon dioxide transport and storage revenue support contract (b) a hydrogen transport revenue support contract (see section 61(2)), (c) a hydrogen storage revenue support contract (see section 63(2)),

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (d) a hydrogen production revenue support contract (see section 65(2)), or (e) a carbon capture revenue support contract (see section 67(2)). (3) The provision made by this Chapter is without prejudice to the generality (4) In this Part “revenue support regulations” means regulations under this section. (5) Revenue support regulations may— (a) make different provision for different cases or circumstances or for different (b) provide for exemptions or other exceptions to any requirement imposed by (6) Revenue support regulations may— (a) include incidental, supplementary or consequential provision; (b) make transitory or transitional provision or savings. (7) Revenue support regulations may confer any function on any person. (8) Revenue support regulations may provide for a function conferred on a person to be exercisable on that person’s behalf by another person. (9) Regulations of any of the following kinds are subject to the affirmative procedure— (a) the first revenue support regulations that make (with or without other provision) provision falling within any of sections 70, 71, 72, 77, 78, 82 or 83; (b) revenue support regulations that make (with or without other provision) provision falling within any of sections 58(2), 60(3), 62(2) or (4), 64(2) or (4), 66(2) or (4), 68(2) or (4), 75, 76, 81(4) or 84. (10) Any other revenue support regulations are subject to the negative procedure. (11) If, apart from this subsection, a draft of an instrument containing revenue support regulations would be treated for the purposes of the standing orders of either House of Parliament as a hybrid instrument, it is to proceed in that House as if it were not I57 S. 57 in force at Royal Assent for specified purposes, see s. 334(2)(a)(ii) I58 S. 57 in force at 26.12.2023 in so far as not already in force, see s. 334(3)(b) Duties of revenue support counterparty 58 Duties of revenue support counterparty (1) A revenue support counterparty must act in accordance with— (a) any direction given by the Secretary of State by virtue of this Chapter; (b) any provision included in revenue support regulations. (2) Revenue support regulations may make provision— (a) to require a revenue support counterparty to enter into arrangements or to offer to contract for purposes connected to a revenue support contract;

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023.
(See end of Document for details) (b) specifying things that a revenue support counterparty may or must do, or things that a revenue support counterparty may not do; (c) conferring on the Secretary of State further powers to direct a revenue support counterparty to do, or not to do, things specified in the regulations or the (3) The provision that may be made by virtue of subsection (2)(b) or (c) includes provision requiring consultation with, or the consent of, the Secretary of State in relation to— (a) the determination of an application for a modification agreement (b) the enforcement of obligations under a revenue support contract; (c) a variation or termination of a revenue support contract; (d) the settlement or compromise of a claim under a revenue support contract; (e) the conduct of legal proceedings relating to a revenue support contract; (f) the exercise of rights under a revenue support contract. (4) A revenue support counterparty must exercise the functions conferred by or by virtue of this Chapter so as to ensure that it can meet its liabilities under any revenue support contract to which it is a party. (5) Revenue support regulations must include such provision as the Secretary of State considers necessary so as to ensure that a carbon dioxide transport and storage counterparty, hydrogen transport counterparty, hydrogen storage counterparty, hydrogen production counterparty or carbon capture counterparty can meet its liabilities under any carbon dioxide transport and storage revenue support contract, hydrogen transport revenue support contract, hydrogen storage revenue support contract, hydrogen production revenue support contract or (as the case may be) carbon capture revenue support contract to which it is a party. (6) In this Chapter “revenue support counterparty” means— (a) a carbon dioxide transport and storage counterparty (see section 59(3)), (b) a hydrogen transport counterparty (see section 61(3)), (c) a hydrogen storage counterparty (see section 63(3)), (d) a hydrogen production counterparty (see section 65(3)), or (e) a carbon capture counterparty (see section 67(3)). I59 S. 58 in force at Royal Assent for specified purposes, see s. 334(2)(a)(ii) I60 S. 58 in force at 26.12.2023 in so far as not already in force, see s. 334(3)(b) Carbon dioxide capture, storage etc and hydrogen production, transport and storage 59 Designation of carbon dioxide transport and storage counterparty (1) The Secretary of State may by notice given to a person designate the person to be a counterparty for carbon dioxide transport and storage revenue support contracts. (2) A “carbon dioxide transport and storage revenue support contract” is a contract in relation to which both the following paragraphs apply—

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (a) the contract is between a carbon dioxide transport and storage counterparty and the holder of a licence under section 7; (b) the contract was entered into by a carbon dioxide transport and storage counterparty in pursuance of a direction given to it under section 60(1). (3) A person designated under subsection (1) is referred to in this Chapter as a “carbon dioxide transport and storage counterparty”. (4) A designation may be made only with the consent of the person designated (except where that person is the Secretary of State). (5) The Secretary of State may exercise the power to designate so that more than one designation has effect under subsection (1), but only if the Secretary of State considers it necessary for the purposes of ensuring that— (a) liabilities under a carbon dioxide transport and storage revenue support (b) arrangements entered into for purposes connected to a carbon dioxide transport and storage revenue support contract continue to operate, or (c) directions given to a carbon dioxide transport and storage counterparty (6) As soon as reasonably practicable after a designation ceases to have effect, the Secretary of State must make one or more transfer schemes under section 86 to ensure the transfer of all rights and liabilities under any carbon dioxide transport and storage revenue support contract to which the person who has ceased to be a carbon dioxide transport and storage counterparty was a party. I61 S. 59 in force at 26.12.2023, see s. 334(3)(b) 60 Direction to offer to contract with licence holder (1) The Secretary of State may, in accordance with any provision made by revenue support regulations, direct a carbon dioxide transport and storage counterparty to offer to contract with an eligible person specified in the direction, on terms specified in the (2) The following are “eligible” persons for the purposes of this section— (a) the holder of a licence under section 7, or (b) a person who is to be granted a licence under section 7 (and has been notified of that by the Secretary of State or the GEMA). (3) Revenue support regulations may make further provision about a direction under this section and in particular about— (a) the circumstances in which a direction may or must be given; (b) the terms that may or must be specified in a direction. I62 S. 60 in force at 26.12.2023, see s. 334(3)(b)

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) 61 Designation of hydrogen transport counterparty (1) The Secretary of State may by notice given to a person designate the person to be a counterparty for hydrogen transport revenue support contracts.
(2) A “hydrogen transport revenue support contract” is a contract to which a hydrogen transport counterparty is a party and which was entered into by a hydrogen transport counterparty in pursuance of a direction given to it under section 62(1). (3) A person designated under subsection (1) is referred to in this Chapter as a “hydrogen (4) A designation may be made only with the consent of the person designated (except where that person is the Secretary of State). (5) The Secretary of State may exercise the power of designation so that more than one designation has effect under subsection (1), but only if the Secretary of State considers it necessary for the purposes of ensuring that— (a) liabilities under a hydrogen transport revenue support contract are met, (b) arrangements entered into for purposes connected to a hydrogen transport revenue support contract continue to operate, or (c) directions given to a hydrogen transport counterparty continue to have effect. (6) As soon as reasonably practicable after a designation ceases to have effect, the Secretary of State must make one or more transfer schemes under section 86 to ensure the transfer of all rights and liabilities under any hydrogen transport revenue support contract to which the person who has ceased to be a hydrogen transport counterparty (7) In this Chapter “hydrogen transport provider” means a person who carries on (or is to carry on) in the United Kingdom activities of transporting hydrogen. (8) In subsection (7) the reference to carrying on activities in the United Kingdom includes carrying on activities in, above or below— (a) the territorial sea adjacent to the United Kingdom; (b) waters in a Renewable Energy Zone (within the meaning of Chapter 2 of Part (c) waters in a Gas Importation and Storage Zone (within the meaning given by section 1 of the Energy Act 2008). (9) In subsection (7) “transporting hydrogen” includes transporting a compound, of which hydrogen is an element, which revenue support regulations specify as a qualifying compound for the purposes of this section. I63 S. 61 in force at 26.12.2023, see s. 334(3)(b)

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) 62 Direction to offer to contract with eligible hydrogen transport provider (1) The Secretary of State may, in accordance with any provision made by revenue support regulations, direct a hydrogen transport counterparty to offer to contract with an eligible hydrogen transport provider specified in the direction, on terms specified in (2) Revenue support regulations may make further provision about a direction under this section and in particular about— (a) the circumstances in which a direction may or must be given; (b) the terms that may or must be specified in a direction. (3) Provision falling within subsection (2) may include provision for calculations or determinations to be made under the regulations, including by such persons, in accordance with such procedure and by reference to such matters and to the opinion of such persons, as may be specified in the regulations. (4) Revenue support regulations must make provision for determining the meaning of “eligible” in relation to a hydrogen transport provider. (5) Regulations within subsection (4) may in particular make provision by reference to standards or other published documents (as they have effect from time to time). I64 S. 62 in force at 26.12.2023, see s. 334(3)(b) 63 Designation of hydrogen storage counterparty (1) The Secretary of State may by notice given to a person designate the person to be a counterparty for hydrogen storage revenue support contracts. (2) A “hydrogen storage revenue support contract” is a contract to which a hydrogen storage counterparty is a party and which was entered into by a hydrogen storage counterparty in pursuance of a direction given to it under section 64(1). (3) A person designated under subsection (1) is referred to in this Chapter as a “hydrogen (4) A designation may be made only with the consent of the person designated (except where that person is the Secretary of State). (5) The Secretary of State may exercise the power of designation so that more than one designation has effect under subsection (1), but only if the Secretary of State considers it necessary for the purposes of ensuring that— (a) liabilities under a hydrogen storage revenue support contract are met, (b) arrangements entered into for purposes connected to a hydrogen storage revenue support contract continue to operate, or (c) directions given to a hydrogen storage counterparty continue to have effect. (6) As soon as reasonably practicable after a designation ceases to have effect, the Secretary of State must make one or more transfer schemes under section 86 to ensure

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) the transfer of all rights and liabilities under any hydrogen storage revenue support contract to which the person who has ceased to be a hydrogen storage counterparty (7) In this Chapter “hydrogen storage provider” means a person who carries on (or is to carry on) in the United Kingdom activities of storing hydrogen. (8) In subsection (7) the reference to carrying on activities in the United Kingdom includes carrying on activities in, above or below— (a) the territorial sea adjacent to the United Kingdom; (b) waters in a Renewable Energy Zone (within the meaning of Chapter 2 of Part (c) waters in a Gas Importation and Storage Zone (within the meaning given by section 1 of the Energy Act 2008).
(9) In subsection (7) “storing hydrogen” includes storing a compound, of which hydrogen is an element, which revenue support regulations specify as a qualifying compound for the purposes of this section. I65 S. 63 in force at 26.12.2023, see s. 334(3)(b) 64 Direction to offer to contract with eligible hydrogen storage provider (1) The Secretary of State may, in accordance with any provision made by revenue support regulations, direct a hydrogen storage counterparty to offer to contract with an eligible hydrogen storage provider specified in the direction, on terms specified in (2) Revenue support regulations may make further provision about a direction under this section and in particular about— (a) the circumstances in which a direction may or must be given; (b) the terms that may or must be specified in a direction. (3) Provision falling within subsection (2) may include provision for calculations or determinations to be made under the regulations, including by such persons, in accordance with such procedure and by reference to such matters and to the opinion of such persons, as may be specified in the regulations. (4) Revenue support regulations must make provision for determining the meaning of “eligible” in relation to a hydrogen storage provider. (5) Regulations within subsection (4) may in particular make provision by reference to standards or other published documents (as they have effect from time to time). I66 S. 64 in force at 26.12.2023, see s. 334(3)(b)

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) 65 Designation of hydrogen production counterparty (1) The Secretary of State may by notice given to a person designate the person to be a counterparty for hydrogen production revenue support contracts. (2) A “hydrogen production revenue support contract” is a contract to which a hydrogen production counterparty is a party and which was entered into by a hydrogen production counterparty in pursuance of a direction given to it under section 66(1) or a notification given to it under section 75(1). (3) A person designated under subsection (1) is referred to in this Chapter as a “hydrogen (4) A designation may be made only with the consent of the person designated (except where that person is the Secretary of State). (5) The Secretary of State may exercise the power of designation so that more than one designation has effect under subsection (1), but only if the Secretary of State considers it necessary for the purposes of ensuring that— (a) liabilities under a hydrogen production revenue support contract are met, (b) arrangements entered into for purposes connected to a hydrogen production revenue support contract continue to operate, or (c) directions given to a hydrogen production counterparty continue to have (6) As soon as reasonably practicable after a designation ceases to have effect, the Secretary of State must make one or more transfer schemes under section 86 to ensure the transfer of all rights and liabilities under any hydrogen production revenue support contract to which the person who has ceased to be a hydrogen production counterparty “low carbon hydrogen producer” means a person who carries on (or is to carry on) in the United Kingdom activities of producing hydrogen which in the opinion of the Secretary of State will contribute to a reduction in emissions “greenhouse gas” has the meaning given by section 92(1) of the Climate (8) In subsection (7) the reference to carrying on activities in the United Kingdom includes carrying on activities in, above or below— (a) the territorial sea adjacent to the United Kingdom; (b) waters in a Renewable Energy Zone (within the meaning of Chapter 2 of Part I67 S. 65 in force at Royal Assent, see s. 334(3)(a)(iii)

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) 66 Direction to offer to contract with eligible low carbon hydrogen producer (1) The Secretary of State may, in accordance with any provision made by revenue support regulations, direct a hydrogen production counterparty to offer to contract with an eligible low carbon hydrogen producer specified in the direction, on terms specified (2) Revenue support regulations may make further provision about a direction under this section and in particular about— (a) the circumstances in which a direction may or must be given; (b) the terms that may or must be specified in a direction. (3) Provision falling within subsection (2) may include provision for— (a) the determination of a matter on a competitive basis, (b) calculations or determinations to be made under the regulations, including by such persons, in accordance with such procedure and by reference to such matters and to the opinion of such persons, as may be specified in the (4) Revenue support regulations must make provision for determining the meaning of “eligible” in relation to a low carbon hydrogen producer. (5) Regulations within subsection (4) may in particular make provision by reference to standards or other published documents (as they have effect from time to time).
I68 S. 66 in force at Royal Assent, see s. 334(3)(a)(iii) 67 Designation of carbon capture counterparty (1) The Secretary of State may by notice given to a person designate the person to be— (a) a counterparty for carbon capture revenue support contracts; (b) a counterparty for any one or more descriptions of carbon capture revenue (2) A “carbon capture revenue support contract” is a contract to which a carbon capture counterparty is a party and which was entered into by a carbon capture counterparty in pursuance of a direction given to it under section 68(1) or a notification given to (3) A person designated under subsection (1) is referred to in this Chapter as a “carbon (4) A designation may be made only with the consent of the person designated (except where that person is the Secretary of State). (5) The Secretary of State may— (a) exercise the power under paragraph (a) of subsection (1) so that more than one designation has effect under that paragraph;

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (b) exercise the power under paragraph (b) of that subsection so that more than one designation has effect in respect of any description of carbon capture (6) As soon as reasonably practicable after a designation ceases to have effect, the Secretary of State must make one or more transfer schemes under section 86 to ensure the transfer of all rights and liabilities under any carbon capture revenue support contract to which the person who has ceased to be a carbon capture counterparty was “carbon capture entity” means a person who carries on (or is to carry on) in the United Kingdom, with a view to the storage of carbon dioxide, activities of capturing carbon dioxide (or any substance consisting primarily of carbon (a) has been produced by commercial or industrial activities, (c) has dissolved in sea water; “storage”, in relation to carbon dioxide, means any storage with a view to the permanent containment of carbon dioxide. (8) In subsection (7) the reference to carrying on activities in the United Kingdom includes carrying on activities in, above or below— (a) the territorial sea adjacent to the United Kingdom; (b) waters in a Gas Importation and Storage Zone (within the meaning given by section 1 of the Energy Act 2008). I69 S. 67 in force at 26.12.2023, see s. 334(3)(b) 68 Direction to offer to contract with eligible carbon capture entity (1) The Secretary of State may, in accordance with any provision made by revenue support regulations, direct a carbon capture counterparty to offer to contract with an eligible carbon capture entity specified in the direction, on terms specified in the direction. (2) Revenue support regulations may make further provision about a direction under this section and in particular about— (a) the circumstances in which a direction may or must be given; (b) the terms that may or must be specified in a direction. (3) Provision falling within subsection (2) may include provision for— (a) the determination of a matter on a competitive basis, (b) calculations or determinations to be made under the regulations, including by such persons, in accordance with such procedure and by reference to such matters and to the opinion of such persons, as may be specified in the (4) Revenue support regulations must make provision for determining the meaning of “eligible” in relation to a carbon capture entity. Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (5) Regulations within subsection (4) may in particular make provision by reference to standards or other published documents (as they have effect from time to time). I70 S. 68 in force at 26.12.2023, see s. 334(3)(b) 69 Appointment of hydrogen levy administrator (1) The Secretary of State may by regulations appoint a person to carry out functions with respect to obligations of relevant market participants under section 70. (2) The Secretary of State may exercise the power under subsection (1) so that more than one appointment has effect under that subsection at the same time. (3) An appointment may be made only with the consent of the person appointed (except where that person is the Secretary of State). (4) An appointment ceases to have effect if the Secretary of State by regulations revokes (5) As soon as reasonably practicable after a person’s appointment under subsection (1) ceases to have effect, the Secretary of State must make one or more transfer schemes under section 86 to ensure the transfer of any rights and liabilities of that person that the Secretary of State considers appropriate. (6) A person appointed under subsection (1) is called a “hydrogen levy administrator”.
I71 S. 69 in force at 26.12.2023, see s. 334(3)(b) 70 Obligations of relevant market participants (1) Revenue support regulations may make provision for relevant market participants (see subsection (8)) to make payments to a hydrogen levy administrator for the purpose (a) a hydrogen transport counterparty to make payments under a hydrogen transport revenue support contract or in respect of liabilities incurred in connection with hydrogen transport revenue support contracts; (b) a hydrogen storage counterparty to make payments under a hydrogen storage revenue support contract or in respect of liabilities incurred in connection with hydrogen storage revenue support contracts; (c) a hydrogen production counterparty to make payments under a hydrogen production revenue support contract or in respect of liabilities incurred in (d) a counterparty to a carbon dioxide transport and storage revenue support contract to make payments under that contract, or in respect of liabilities

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) incurred in connection with that contract, for a purpose connected with hydrogen production revenue support contracts. (2) Revenue support regulations may make provision for relevant market participants to make payments to a hydrogen levy administrator for the purpose of enabling the (a) to meet or reimburse such descriptions of relevant costs (whether of the hydrogen levy administrator or another person) as the Secretary of State (c) to cover losses in the case of insolvency or default of a relevant market (3) Revenue support regulations may make provision about the method of calculating or determining amounts that are to be paid by a hydrogen levy administrator for a purpose mentioned in subsection (1) or (2), including provision for adjustments or apportionments in cases where an amount required to be paid by a hydrogen levy administrator for such a purpose has not been paid in full. (4) Revenue support regulations may make provision to require relevant market participants to provide financial collateral to a hydrogen levy administrator (whether in cash, securities or any other form). (5) Revenue support regulations that make provision by virtue of subsection (1) for the payment of sums by relevant market participants must impose on a hydrogen levy administrator a duty in relation to the collection of such sums. (6) In subsection (1) a reference to liabilities incurred in connection with a revenue support contract includes liabilities incurred in connection with a contract entered into by the counterparty concerned for a purpose related to that contract. (7) In subsection (2) “relevant costs” means any costs in connection with the performance of any function conferred by or by virtue of this Chapter. (8) In this Chapter “relevant market participants” means one or more descriptions of persons specified in revenue support regulations, but a description so specified may not include persons other than— (b) Northern Ireland gas shippers. (9) Revenue support regulations may make provision about eligibility for exemptions from obligations imposed on relevant market participants by regulations within I72 S. 70 in force at 26.12.2023, see s. 334(3)(b) 71 Payments to relevant market participants (1) Revenue support regulations may make provision about amounts which must be (a) by a hydrogen levy administrator to relevant market participants, or

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (b) by a relevant counterparty— (i) to relevant market participants, or (ii) to a hydrogen levy administrator for the purpose of enabling payments to be made to relevant market participants. (2) Regulations by virtue of subsection (1) may make provision— (a) for a hydrogen levy administrator to calculate or determine, in accordance with such criteria as may be provided for by or under the regulations, amounts (i) the hydrogen levy administrator, or (b) for a relevant counterparty to calculate or determine, in accordance with such criteria as may be provided for by or under the regulations, amounts which (i) the relevant counterparty, or (ii) a hydrogen levy administrator; (c) for the issuing of notices by a hydrogen levy administrator to require the payment by a relevant counterparty of amounts calculated or determined by the hydrogen levy administrator in accordance with paragraph (a)(ii); (d) for the issuing of notices by a relevant counterparty to require the payment by a hydrogen levy administrator of amounts calculated or determined by the relevant counterparty in accordance with paragraph (b)(ii); (e) for the provision of copies of notices such as are mentioned in paragraph (c) or (d) to persons specified in the regulations, or the publication of such notices. (3) Revenue support regulations may make provision imposing on a relevant market participant who receives a payment from a hydrogen levy administrator or a relevant counterparty a requirement to secure that customers of the relevant market participant receive, by a time specified in the regulations, such benefit from the payment as may be specified in or determined in accordance with the regulations. (4) In this section “relevant counterparty” means any of the following— (a) a hydrogen transport counterparty; (b) a hydrogen storage counterparty; (c) a hydrogen production counterparty.
I73 S. 71 in force at 26.12.2023, see s. 334(3)(b) 72 Functions of hydrogen levy administrator (1) Revenue support regulations may make provision— (a) specifying things that a hydrogen levy administrator may or must do, or things that a hydrogen levy administrator may not do; (b) conferring on the Secretary of State powers to direct a hydrogen levy administrator to do, or not to do, things specified in the regulations or the

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (2) The following provisions of this section are without prejudice to the generality (3) Revenue support regulations may make provision— (a) for a hydrogen levy administrator to calculate or determine, in accordance with such criteria as may be provided for by or under the regulations, amounts that are owed by a relevant market participant or are to be provided as financial collateral by a relevant market participant; (b) for the issuing of notices by a hydrogen levy administrator to require the payment or provision of such amounts; (c) for the provision of copies of such notices to persons specified in the regulations or the publication of such notices; (d) for the enforcement of obligations imposed by or under the regulations (including provision about interest on late payments and imposing financial (e) about the resolution of disputes, including provision about arbitration or appeals (which may in particular include provision for the person conducting an arbitration or determining an appeal to order the payment of costs or (f) for a hydrogen levy administrator to determine the form and terms of any (g) for a hydrogen levy administrator to hold sums in reserve. (4) Provision made by virtue of subsection (3)(a) or section 70(3) or (9) or 71(2) or (3) may provide for anything that is to be calculated or determined under the regulations to be calculated or determined— (b) in accordance with such procedure, and (c) by reference to such matters and to the opinion of such persons, as may be specified in the regulations. (5) Provision made by virtue of subsection (3)(d) for the imposition of a financial penalty must include provision for a right of appeal against the imposition of the penalty. (a) a relevant market participant is required by virtue of revenue support regulations to pay to a hydrogen levy administrator, and (b) has not been paid by the date on which it is required by virtue of revenue support regulations to be paid, may be recovered from the relevant market participant by the hydrogen levy administrator as a civil debt due to it. (7) Revenue support regulations may make provision about the application of sums held by a hydrogen levy administrator. (8) The provision that may be made by virtue of subsection (7) includes provision that sums are to be paid, or not to be paid, into the Consolidated Fund. I74 S. 72 in force at 26.12.2023, see s. 334(3)(b)

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) 73 Power to appoint allocation bodies (1) The Secretary of State may by regulations appoint— (a) a person to carry out functions in connection with the allocation of hydrogen production revenue support contracts; (b) a person to carry out functions in connection with the allocation of carbon capture revenue support contracts. (2) The power under each paragraph of subsection (1) may be exercised so that more than one appointment has effect under that paragraph at the same time. (3) An appointment may be made only with the consent of the person appointed (except where that person is the Secretary of State). (4) An appointment ceases to have effect if— (a) the Secretary of State by regulations revokes the appointment, or (b) the person withdraws consent. (5) Regulations under subsection (1) may make provision with regard to the cessation of (a) provision requiring a person appointed under subsection (1) to give a period of notice no shorter than a period specified in the regulations when withdrawing their consent to appointment, or otherwise restricting or subjecting to conditions a person’s power under subsection (4) to withdraw consent; (b) provision enabling a person who has ceased to be appointed under subsection (1) to continue to be treated as if they were so appointed, including provision about the purposes for which, the circumstances in which, and the period for which, such a person may be so treated. (a) a person appointed under subsection (1)(a) is called a “hydrogen production (b) a person appointed under subsection (1) (b) is called a “carbon capture (c) references to “allocating” a hydrogen production revenue support contract or carbon capture revenue support contract to a person are to specifying the person in a notification under section 75 (1) or (2) (and references to the “allocation” of such a contract are to be interpreted accordingly); (d) “allocation body” means a hydrogen production allocation body or a carbon (7) Regulations under this section, other than regulations under subsection (4) (a), are subject to the negative procedure. I75 S. 73 in force at 26.12.2023, see s. 334(3)(b)

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023.
(See end of Document for details) 74 Standard terms of revenue support contracts (1) The Secretary of State may issue standard terms and conditions (“standard terms”) (a) hydrogen production revenue support contracts; (b) carbon capture revenue support contracts. (2) The Secretary of State may from time to time revise standard terms. (3) Standard terms issued or revised under this section must be in accordance with provision made in revenue support regulations. (4) The Secretary of State must publish standard terms as issued or revised under this (5) In publishing standard terms the Secretary of State may designate particular standard terms as terms that may not be modified under section 78. (6) Different standard terms may be issued for different categories of hydrogen production revenue support contract or carbon capture revenue support contract. I76 S. 74 in force at 26.12.2023, see s. 334(3)(b) (1) A hydrogen production allocation body may, in accordance with provision made by revenue support regulations, give a notification to a hydrogen production counterparty (a) an eligible low carbon hydrogen producer, and (b) such other information as may be required for the purpose of making an offer under section 77 to contract with that low carbon hydrogen producer. (2) A carbon capture allocation body may, in accordance with provision made by revenue support regulations, give a notification to a carbon capture counterparty specifying— (a) an eligible carbon capture entity, and (b) such other information as may be required for the purpose of making an offer under section 77 to contract with that carbon capture entity. (3) A notification given under subsection (1) or (2) is called an “allocation notification”. (4) Revenue support regulations may make further provision about allocation notifications and in particular provision about— (a) the circumstances in which an allocation notification may or must be given; (b) the kinds of information that must be specified in an allocation notification in accordance with subsection (1)(b) or (2)(b); (c) appeals against decisions not to give allocation notifications. I77 S. 75 in force at 26.12.2023, see s. 334(3)(b)

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (1) Provision that may be made in revenue support regulations for the purposes of section 75(1) and (2) includes provision about how determinations are to be made (a) which eligible low carbon hydrogen producer a hydrogen production revenue support contract is to be allocated to; (b) which eligible carbon capture entity a carbon capture revenue support contract (2) Provision made by revenue support regulations falling within subsection (1) may (a) provision conferring power on the Secretary of State to make rules (an “allocation framework”) about the allocation of hydrogen production revenue support contracts or carbon capture revenue support contracts; (b) provision for different periods within which hydrogen production revenue support contracts or carbon capture revenue support contracts are to be allocated (“allocation rounds”); (c) provision for different allocation frameworks to apply in respect of different (d) provision for the publication of allocation frameworks; (e) provision about matters in relation to which provision may or must be made (3) Provision made by revenue support regulations falling within subsection (2) may impose requirements on the Secretary of State, including in particular— (a) requirements as to the giving of notice before an allocation round is (b) restrictions on the circumstances in which amendments may be made during an allocation round to an allocation framework or to any other matter relevant to an allocation round (including any amount by reference to which a limit on the contracts allocated during the round is to be determined). (4) An allocation framework may— (a) confer functions on an allocation body with respect to the allocation of hydrogen production revenue support contracts or carbon capture revenue (b) specify targets to be met or taken into account by an allocation body in giving allocation notifications by virtue of section 75, including targets relating to— (i) the process used for producing hydrogen or for capturing carbon (ii) outputs or capacity (whether in respect of hydrogen production or (iii) the geographical location of an applicant’s activities; (c) make provision by reference to standards or other published documents (as they have effect from time to time); (d) make any provision that may be made by regulations by virtue (5) An allocation framework may include provision for— (a) the determination of a matter on a competitive basis;

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (b) calculations or determinations to be made under the framework, including by such persons, in accordance with such procedure and by reference to such matters and to the opinion of such persons, as may be specified in the (6) An allocation framework may— (a) include incidental, supplementary and consequential provision; (b) make transitory or transitional provision and savings; (c) make different provision for different cases or circumstances or for different (d) make provision subject to exceptions. (7) Any power conferred by virtue of subsection (2) to make an allocation framework includes a power to amend, add to or remove an allocation framework.
(8) Subsections (4) to (7) are subject to any provision contained in revenue support I78 S. 76 in force at 26.12.2023, see s. 334(3)(b) 77 Duty to offer to contract following allocation (1) Where an allocation notification is given to a hydrogen production counterparty under section 75(1), the counterparty must, in accordance with provision made by revenue support regulations, offer to contract with the eligible low carbon hydrogen producer specified in the notification on— (b) standard terms as modified in accordance with any modification agreement entered into between the counterparty and the eligible low carbon hydrogen producer for the purposes of the allocation notification (see section 78). (2) Where an allocation notification is given to a carbon capture counterparty under section 75(2), the counterparty must, in accordance with provision made by revenue support regulations, offer to contract with the eligible carbon capture entity specified in the notification on— (b) standard terms as modified in accordance with any modification agreement entered into between the counterparty and the eligible carbon capture entity for the purposes of the allocation notification (see section 78). (3) Revenue support regulations may make further provision about an offer to contract made under this section, including provision about— (a) how a hydrogen production counterparty or carbon capture counterparty is to apply or complete standard terms in relation to the offer in accordance with information specified in an allocation notification; (b) the time within which the offer must be made; (c) how the eligible low carbon hydrogen producer or eligible carbon capture entity to whom the offer is made may enter into a hydrogen production

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) revenue support contract or (as the case may be) carbon capture revenue support contract as a result of the offer; (d) what is to happen if the eligible low carbon hydrogen producer or eligible carbon capture entity does not enter into such a contract as a result of the offer. (4) In this section, “standard terms”, in relation to an allocation notification, means standard terms published under section 74, determined in accordance with revenue support regulations as the standard terms that are to apply in relation to the allocation I79 S. 77 in force at 26.12.2023, see s. 334(3)(b) 78 Modification of standard terms (1) This section applies where a person wishes to be specified as an eligible low carbon hydrogen producer, or an eligible carbon capture entity, in an allocation notification (“the potential allocation notification”). (2) A hydrogen production counterparty or (as the case requires) carbon capture counterparty and the person may, in accordance with provision made by revenue support regulations, agree to modify standard terms for the purposes of any offer that would be required under section 77 if the potential allocation notification is given (a (3) A hydrogen production counterparty or carbon capture counterparty may enter into a modification agreement providing for the modification of any particular standard (a) the counterparty is satisfied that— (i) the effect of the modification is minor, and (ii) the modification is necessary; and (b) the standard term has not been designated under section 74(5) as a term that may not be modified under this section. (4) Revenue support regulations may make further provision about modification (a) the circumstances in which a person may make an application for a (b) the time by which an application must be made; (c) the procedure to be followed, and the information to be given, by the person (d) how a hydrogen production counterparty or carbon capture counterparty is to determine an application (including how it is to determine whether the effect of a modification is minor and whether it is necessary); (e) the time by which determinations must be made; (f) the form of modification agreements. (5) Provision made by virtue of subsection (4)(d) may include provision under which the counterparty may make alternative proposals for modifications in response to an

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (6) In this section “modify” includes add to, alter or omit, and “modification” is to be I80 S. 78 in force at 26.12.2023, see s. 334(3)(b) 79 Sections 75 to 78: supplementary Provision made by regulations by virtue of any of sections 75 to 78 may include (a) the determination of a matter on a competitive basis; (b) calculations or determinations to be made under the regulations, including by such persons, in accordance with such procedure and by reference to such matters and to the opinion of such persons, as may be specified in the I81 S. 79 in force at 26.12.2023, see s. 334(3)(b) 80 Licence conditions regarding functions of certain allocation bodies (1) In section 7B of the Gas Act 1986, after subsection (5) insert— “(5ZA) Without prejudice to the generality of paragraph (a) of subsection (4), conditions for or in connection with the purpose set out in subsection (5ZB) may be included in a licence under section 7AA by virtue of that paragraph. (5ZB) The purpose is to facilitate or ensure the effective performance (whether in relation to Northern Ireland or any other part of the United Kingdom), at relevant times, of functions of a hydrogen production allocation body under Chapter 1 of Part 2 of the Energy Act 2023.
(5ZC) In subsection (5ZB) “relevant times” means times when the hydrogen production allocation body holds a licence under section 7AA.” (a) the GEMA proposes by a modification under section 23 of the Gas Act 1986 of a licence under section 7AA of that Act to add, remove or alter a condition such as is mentioned in section 7B(5ZA) of that Act, and (b) that condition relates to functions of a hydrogen production allocation body that are exercisable in relation to Northern Ireland, section 23 of that Act has effect as if the persons listed in subsection (4)(b) of that section included the Department for the Economy in Northern Ireland. I82 S. 80 in force at 26.12.2023, see s. 334(3)(b)

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) General provision about counterparties 81 Further provision about designations (1) A designation under section 59, 61, 63, 65, or 67 ceases to have effect if— (a) the Secretary of State revokes the designation by notice given to the person designated (in which case the designation ends on the date specified in the (b) the person withdraws consent to the designation by giving not less than 3 months’ notice in writing to the Secretary of State. (2) At any time after the first designation under section 59, 61, 63, 65 or 67 has effect, the Secretary of State must, except where the Secretary of State considers it unnecessary or not reasonably practicable to do so, exercise the power to designate so as to ensure that at least one designation has effect under that section. (3) The Secretary of State must publish a notice given to a person under— (a) section 59(1), 61(1), 63(1), 65(1) or 67(1), or (4) Revenue support regulations may make provision enabling a person who has ceased to be a carbon dioxide transport and storage counterparty, hydrogen transport counterparty, hydrogen storage counterparty, hydrogen production counterparty or carbon capture counterparty to continue to be treated as such a counterparty, including provision about the circumstances in which, and the period for which, such a person I83 S. 81(1)-(3) in force at Royal Assent for specified purposes, see s. 334(2)(a)(iv) I84 S. 81(1)-(3) in force at 26.12.2023 in so far as not already in force, see s. 334(3)(b) I85 S. 81(4) in force at 26.12.2023, see s. 334(3)(b) 82 Application of sums held by a revenue support counterparty (1) Revenue support regulations may make provision for apportioning sums— (a) received by a revenue support counterparty from a hydrogen levy administrator under provision made by virtue of section 70, or (b) received by a revenue support counterparty under a revenue support contract, in circumstances where the revenue support counterparty is unable to fully meet its liabilities under a revenue support contract. (2) The provision that may be made by virtue of subsection (1) includes provision about the meaning of “unable to fully meet its liabilities under a revenue support contract”. (3) In making provision by virtue of subsection (1) , the Secretary of State must have regard to the principle that sums should be apportioned in proportion to the amounts (4) Revenue support regulations may make provision about the application of sums held by a revenue support counterparty. Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (5) The provision that may be made by virtue of subsection (4) includes provision that sums are to be paid, or not to be paid, into the Consolidated Fund. I86 S. 82 in force at 26.12.2023, see s. 334(3)(b) (1) Revenue support regulations may make provision about the provision and publication (2) The provision that may be made by virtue of subsection (1) includes provision— (a) for the Secretary of State to require a revenue support counterparty, to provide advice to the Secretary of State or any other person, or persons of any description, specified in the regulations; (b) for the Secretary of State to require any party to a revenue support contract to provide information to the Secretary of State or any other person, or persons of any description, specified in the regulations; (c) for the Secretary of State to require any of the following to provide information or advice to the Secretary of State or any other person, or persons of any description, specified in the regulations— (i) a hydrogen levy administrator; (iv) any other person or description of persons specified in the regulations; (d) for a revenue support counterparty to require a person specified, or of a description specified, in the regulations to provide information to it; (e) for a hydrogen levy administrator to require— (i) a revenue support counterparty, (iii) a relevant market participant, or (iv) any other person or description of persons specified in the regulations, (f) for an allocation body to require any party to a hydrogen production revenue support contract or carbon capture revenue support contract to provide (g) for the classification and protection of confidential or sensitive information; (h) for the enforcement of any requirement imposed by virtue of paragraphs (a) (3) The prohibition on disclosure of information by— (a) section 105(1) of the Utilities Act 2000; (b) Article 63(1) of the Energy (Northern Ireland) Order 2003 (S.I. 2003/419 (N.I. does not apply to a disclosure required by virtue of this section. Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective.
Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) I87 S. 83 in force at Royal Assent for specified purposes, see s. 334(2)(a)(v) I88 S. 83 in force at 26.12.2023 in so far as not already in force, see s. 334(3)(b) (1) Revenue support regulations may make provision— (a) for requirements imposed under the regulations on a GB gas shipper to be enforceable by the GEMA as if they were relevant requirements within the meaning of sections 28 to 30O of that Act; (b) for requirements imposed under the regulations on a person who holds a licence under Article 8(1)(c) of the Gas (Northern Ireland) Order 1996 ( S.I. 1996/275 (N.I. 2)) to be enforceable by the Northern Ireland Authority for Utility Regulation as if they were relevant requirements within the meaning of Part 6 of the Energy (Northern Ireland) Order 2003 (S.I. 2003/419 (N.I. 6)). (2) References in subsection (1) to enforcement include enforcement under the terms of a licence mentioned in any of paragraphs (a) and (b) of that subsection. (3) Revenue support regulations may make provision for special allocation body requirements (or a subset of such requirements) to be enforceable by the GEMA as if they were relevant requirements within the meaning of sections 28 to 30O of the (4) In this section “special allocation body requirements” means requirements imposed by or under revenue support regulations or regulations under section 73 on a hydrogen production allocation body, so far as the requirements relate to times when the body holds a licence under section 7AA of the Gas Act 1986 (including requirements in respect of functions of the body that relate to Northern Ireland). I89 S. 84 in force at 26.12.2023, see s. 334(3)(b) (1) Before making revenue support regulations the Secretary of State must— (a) consult the persons mentioned in subsection (2), and (b) specify a period of not less than 28 days for the purposes of subsection (3). (2) The persons to be consulted under subsection (1) are— (a) the Scottish Ministers, if the regulations contain provision that would be within the legislative competence of the Scottish Parliament if it were contained in an Act of that Parliament;

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (b) the Welsh Ministers, if the regulations contain provision that would be within the legislative competence of Senedd Cymru if it were contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown imposed under Schedule 7B to the Government of Wales Act 2006); (c) the Department for the Economy in Northern Ireland, if the regulations contain (i) would be within the legislative competence of the Northern Ireland Assembly if it were contained in an Act of that Assembly, and (ii) would not, if it were contained in a Bill in the Northern Ireland Assembly, result in the Bill requiring the consent of the Secretary of State under section 8 of the Northern Ireland Act 1998; (d) such other persons as the Secretary of State considers appropriate. (3) The Secretary of State must consider any representations that are— (a) duly made within the period specified under subsection (1)(b) by persons consulted under subsection (1), and (4) Before making regulations under section 73(1) (power to appoint allocation bodies) the Secretary of State must consult— (a) the Scottish Ministers, if the regulations contain provision that would be within the legislative competence of the Scottish Parliament if it were contained in an Act of that Parliament; (b) the Welsh Ministers, if the regulations contain provision that would be within the legislative competence of Senedd Cymru if it were contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown imposed under Schedule 7B to the Government of Wales Act 2006); (c) the Department for the Economy in Northern Ireland, if the regulations contain (i) would be within the legislative competence of the Northern Ireland Assembly if it were contained in an Act of that Assembly, and (ii) would not, if it were contained in a Bill in the Northern Ireland Assembly, result in the Bill requiring the consent of the Secretary of State under section 8 of the Northern Ireland Act 1998, and the Secretary of State must consider any representations duly made by persons consulted under this subsection and not withdrawn. (5) Before publishing standard terms under section 74 the Secretary of State must— (a) consult the persons mentioned in subsection (6), and (b) specify a period of not less than 28 days for the purposes of subsection (7). (6) The persons to be consulted under subsection (5) are— (a) the Scottish Ministers, if the standard terms contain provision that would be within the legislative competence of the Scottish Parliament if it were contained in an Act of that Parliament; (b) the Welsh Ministers, if the standard terms contain provision that would be within the legislative competence of Senedd Cymru if it were contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown imposed under Schedule 7B to the Government of Wales Act

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023.
(See end of Document for details) (c) the Department for the Economy in Northern Ireland, if the standard terms (i) would be within the legislative competence of the Northern Ireland Assembly if it were contained in an Act of that Assembly, and (ii) would not, if it were contained in a Bill in the Northern Ireland Assembly, result in the Bill requiring the consent of the Secretary of State under section 8 of the Northern Ireland Act 1998; (d) such other persons as the Secretary of State considers appropriate. (7) The Secretary of State must consider any representations that are— (a) duly made within the period specified under subsection (5)(b) by persons consulted under subsection (5), and (8) A requirement under this section to consult may be satisfied by consultation before, as well as consultation after, the passing of this Act. I90 S. 85 in force at Royal Assent for specified purposes, see s. 334(2)(a)(vi) I91 S. 85 in force at 26.12.2023 in so far as not already in force, see s. 334(3)(b) (1) The Secretary of State may make— (a) one or more schemes for the transfer of designated property, rights or liabilities of a person who has ceased to be a revenue support counterparty to a person who is a revenue support counterparty; (b) one or more schemes for the transfer of designated property, rights or liabilities of a person who has ceased to be a hydrogen levy administrator to a person who is a hydrogen levy administrator; (c) one or more schemes for the transfer of designated property, rights or liabilities of a person who has ceased to be a hydrogen levy administrator to the (d) one or more schemes for the transfer of designated property, rights or liabilities of a person who has ceased to be an allocation body to a person who is an (a) in a case within subsection (1)(a), the person who is a revenue support (b) in a case within subsection (1)(b), the person who is a hydrogen levy (c) in a case within subsection (1)(c), the Secretary of State; (d) in a case within subsection (1)(d), the person who is an allocation body;

Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) “transferor” means the person who has ceased to be a revenue support counterparty, a hydrogen levy administrator or an allocation body (as the case (3) On the transfer date, the designated property, rights and liabilities are transferred and vest in accordance with the scheme. (4) The rights and liabilities that may be transferred by a scheme include those arising under or in connection with a contract of employment. (5) A certificate by the Secretary of State that anything specified in the certificate has vested in any person by virtue of a scheme is conclusive evidence for all purposes (6) A scheme may make provision— (a) for anything done by or in relation to the transferor in connection with any property, rights or liabilities transferred by the scheme to be treated as done, or to be continued, by or in relation to the transferee; (b) for references to the transferor in any agreement (whether written or not), instrument or other document relating to any property, rights or liabilities transferred by the scheme to be treated as references to the transferee; (c) about the continuation of legal proceedings; (d) for transferring property, rights or liabilities that could not otherwise be (e) for transferring property, rights and liabilities irrespective of any requirement for consent that would otherwise apply; (f) for preventing a right of pre-emption, right of reverter, right of forfeiture, right to compensation or other similar right from arising or becoming exercisable as a result of the transfer of property, rights or liabilities; (g) for dispensing with any formality in relation to the transfer of property, rights (h) for transferring property acquired, or rights or liabilities arising, after the scheme is made but before it takes effect; (i) for apportioning property, rights or liabilities; (j) for creating rights, or imposing liabilities, in connection with property, rights or liabilities transferred by the scheme; (k) for requiring the transferee to enter into any agreement of any kind, or for a purpose, specified in or determined in accordance with the scheme. (7) Subsection (6)(b) does not apply to references in— (b) an instrument made under primary legislation. (8) A scheme may contain provision for the payment of compensation by the Secretary of State to any person whose interests are adversely affected by it. (a) include incidental, supplementary or consequential provision; (b) make transitory or transitional provision or savings; (c) make different provision for different cases or circumstances or for different (d) make provision subject to exceptions. Part 2 – Carbon dioxide capture, storage etc and hydrogen production, transport and storage Chapter 1 – Revenue support contracts Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023.