12 in force at 26.12.2023, see s. 334(3)(a) “controlled place” has the meaning given by section 17(3) to (4) of the “scheme” means a scheme under section 50; “subsidiary” has the meaning given to it by section 1159 of the Companies

Schedule 5 – Amendments related to Part 1 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) in relation to a scheme, means a person to whom property, rights or liabilities are transferred in accordance with the scheme; and (b) in relation to particular property, rights or liabilities transferred or created in accordance with a scheme, means the person to whom that property or those rights or liabilities are transferred or in whose favour, or in relation to whom, they are created; (a) in relation to a scheme, means the person from whom property, rights or liabilities are transferred in accordance with the scheme; and (b) in relation to particular property, rights or liabilities transferred or created in accordance with a scheme, means the person from whom that property or those rights or liabilities are transferred or the person who or whose property is subject to the interest or right created by the scheme or for whose benefit the liability is created. (2) References in this Schedule to a right or to an entitlement to a right include references to an entitlement to exercise a right; and, accordingly, references to a right’s arising include references to its becoming exercisable. I470 Sch. 4 para. 13 in force at 26.12.2023, see s. 334(3)(a) 1 The Utilities Act 2000 is amended as follows. I471 Sch. 5 para. 1 in force at 26.12.2023, see s. 334(3)(a) 2 In section 4 (forward work programmes), at the end insert— (a) references to functions do not include functions under Part 1 of the (b) references to projects do not include projects with regard to the I472 Sch. 5 para. 2 in force at 26.12.2023, see s. 334(3)(a) 3 In section 5 (annual and other reports of Authority), after subsection (10) insert—

Schedule 5 – Amendments related to Part 1 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) references to functions of the Authority do not include functions under Part 1 of the Energy Act 2023; (b) references to activities of the Authority do not include activities in the exercise of such functions; (c) the reference in subsection (1) to “references made by the Authority” does not include references made by virtue of section 36(1) of the I473 Sch. 5 para. 3 in force at 26.12.2023, see s. 334(3)(a) 4 In section 5XA (laying of accounts before Scottish Parliament and Welsh Assembly) (a) in the heading, for “and Welsh Assembly” substitute “, Senedd Cymru or the Northern Ireland Assembly”; (b) after subsection (2) insert— “(2A) The Authority must send to the Department for the Economy in Northern Ireland, in respect of each of its accounting years, a copy of the certified accounts and report of the Authority no later than 31 January of the financial year following that to which the accounts (c) after subsection (3A) insert— “(3B) The Department for the Economy in Northern Ireland must lay a copy of whatever is sent to it under subsection (2A) before the (d) for subsection (4) substitute— “(4) In subsections (1) to (3) “certified accounts and report” means those accounts certified under sections 5 and 7 of the Government Resources and Accounts Act 2000, and the report issued by the Comptroller and Auditor General under section 6(3)(a) of that I474 Sch. 5 para. 4 in force at 26.12.2023, see s. 334(3)(a) 5 In section 105 (general restrictions on disclosure of information)— (a) in subsection (1)(a), after “Energy Prices Act 2022” insert “or Part 1 of the (b) in subsection (3), after paragraph (azc) insert— “(azd) it is made for the purpose of facilitating the performance of any functions of the Authority under or by virtue of Part (c) in subsection (6), at the end insert— “(z1) Part 1 of the Energy Act 2023.”

Schedule 5 – Amendments related to Part 1 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) I475 Sch. 5 para. 5 in force at 26.12.2023, see s. 334(3)(a) I471 Sch. 5 para. 1 in force at 26.12.2023, see s. 334(3)(a) I472 Sch. 5 para. 2 in force at 26.12.2023, see s. 334(3)(a) I473 Sch. 5 para. 3 in force at 26.12.2023, see s. 334(3)(a) I474 Sch. 5 para. 4 in force at 26.12.2023, see s. 334(3)(a) I475 Sch. 5 para. 5 in force at 26.12.2023, see s. 334(3)(a) 6 The Enterprise Act 2002 is amended as follows. I476 Sch. 5 para. 6 in force at 26.12.2023, see s. 334(3)(a) 7 In section 136 (investigations and reports on market investigation references), in subsection (7)(b), for the words from “or” to the end substitute “, section 43 of the Electricity Act 1989 or (as the case may be) section 36 of the Energy Act 2023;”. I477 Sch. 5 para. 7 in force at 26.12.2023, see s. 334(3)(a) 8 (1) Section 168 (regulated markets) is amended as follows.
(2) In subsection (3) (meaning of “relevant action”)— (a) omit “or” at the end of paragraph (p); (b) after paragraph (q) insert “; or (r) modifying the conditions of a licence granted under section 7 of the Energy Act 2023.” (3) In subsection (4) (meaning of “relevant statutory functions”)— (a) omit “and” at the end of paragraph (r); (b) after paragraph (s) insert “, and (t) in relation to a licence granted under section 7 of the Energy Act 2023, the objectives and duties of the Gas and Electricity Markets Authority under section 1 of that Act.” (a) for “or section 6” substitute “, section 6”; (b) before “would” insert “or section 7 of the Energy Act 2023”. Schedule 6 – Carbon dioxide storage licence provisions 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) I478 Sch. 5 para. 8 in force at 26.12.2023, see s. 334(3)(a) I476 Sch. 5 para. 6 in force at 26.12.2023, see s. 334(3)(a) I477 Sch. 5 para. 7 in force at 26.12.2023, see s. 334(3)(a) I478 Sch. 5 para. 8 in force at 26.12.2023, see s. 334(3)(a) Enterprise and Regulatory Reform Act 2013 9 In Schedule 4 to the Enterprise and Regulatory Reform Act 2013, in paragraph 35(3) (membership of CMA panel), in the definition of “specialist utility functions”, after “(ba) an appeal under section 20 of the Energy Act 2023;”. I479 Sch. 5 para. 9 in force at 26.12.2023, see s. 334(3)(a) I480 Sch. 6 not in force at Royal Assent, see s. 334(1) I481 Sch. 6 in force at 11.1.2024 by S.I. 2024/32, reg. 2(a)(i) In the Storage of Carbon Dioxide (Licensing etc.) Regulations 2010 ( S.I. 2010/2221 ), in Schedule 1 (provisions to be included in a licence), after paragraph 5 insert— Change in control of licence holder “6 (1) This paragraph applies if— (a) the licence holder is a company, or (b) where two or more persons are joint licence holders, any of those persons and references in this paragraph to a company are to such a company. (2) A change in control of a company is not permitted without the consent of the (3) There is a “change in control” of a company if a person takes control of the company, not having previously been a person who controlled the company. Schedule 6 – Carbon dioxide storage licence provisions 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) If a change in control of a company is contemplated, the company must apply in writing to the authority for consent at least three months before the date on which it is proposed that the change would occur (if consent were given). (a) consent to the change in control unconditionally, (b) consent to the change in control subject to conditions, or (c) refuse consent to the change in control. (6) If the authority proposes to grant consent subject to any condition or to refuse consent, the authority must, before making a final decision— (a) give the company an opportunity to make representations, and (b) consider any representations that are made. (7) The general rule is that the authority must decide an application within three months of receiving it, but the authority may delay its decision by notifying the interested (8) Conditions as mentioned in sub-paragraph (5)(b) may be imposed on the person taking control of the company (as well as on the company), and may include— (a) conditions relating to the arrangements for the change in control, including the date by which it must occur, (b) conditions relating to the performance of activities permitted by the licence, (9) The authority’s decision on the application, and any conditions as mentioned in sub- paragraph (5)(b), must be notified in writing to the interested parties. (10) In this paragraph “the interested parties” means— (b) the person who (if consent were granted) would take control of the (c) if the company is a joint licence holder with another person or other persons, that other person or those other persons. (11) For the purposes of this paragraph, “control” of a company is to be construed in accordance with sections 450(2) to (4) and 451(1) to (5) of the Corporation Tax Act (a) for the words “the greater part” wherever they occur in section 450(3), there were substituted “one-third or more”, (b) in section 451(4) and (5), for “may” there were substituted “must”, and (c) in section 451(4) and (5), any reference to an associate of a person included (i) a relative (as defined in section 448(2) of that Act) of the person, (ii) a partner of the person, and (iii) a trustee of a settlement (as defined in section 620 of the Income Tax (Trading and Other Income) Act 2005) of which the person is

Schedule 7 – Permitted disclosures of material obtained by OGA 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) Revocation of licence re change in control 7 (1) This paragraph applies in connection with a change in control of a licence holder which is a company (see paragraph 6). (a) any breach or non-observance by the company of any of the terms of (b) any breach of a condition (imposed in accordance with paragraph 6) subject to which the authority gave its consent to a change in control of the (c) any failure to provide full and accurate information in response to a notice given by the authority to the company under section 29A, the authority may, by giving the company and any joint licence holders notice in writing, revoke the licence with effect from the date specified in the notice.
Partial revocation of licence re change in control 8 (1) This paragraph applies if two or more persons are joint licence holders and any of (2) If an event mentioned in paragraph 7(2)(a), (b) or (c) occurs in connection with a change in control of the company, the authority may exercise the power in paragraph 7 to revoke the licence in so far as it applies to that company (without revoking it in so far as it applies to the other person or persons who are joint licence holders).” Disclosure by OGA to specified persons 1 (1) Section 113 does not prohibit a disclosure of protected material by the OGA which— (b) is made for the purpose of facilitating the carrying out of that person’s (c) is a disclosure of protected material obtained by the OGA under a provision A Minister of the Crown Section 112 or 124 His Majesty’s Revenue and Customs Section 112 or 124 The Scottish Ministers Section 112 The Welsh Ministers Section 112 A Northern Ireland Department Section 112

Schedule 7 – Permitted disclosures of material obtained by OGA 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 Office for Budget Responsibility Section 112 An enforcing authority Section 112 or 124 The Statistics Board Section 112 or 124 A manager of the Crown Estate in “enforcing authority” has the same meaning as in Part 1 of the Health and Safety at Work etc Act 1974 (see section 18(7)(a) of that Act); “manager of the Crown Estate in Scotland” means a person who for the time being is discharging functions in relation to the management of any property, rights or interests to which section 90B(5) of the Scotland Act 1998 “Minister of the Crown” has the same meaning as in the Ministers of the (3) Section 113 does not prohibit a disclosure of protected material by the OGA which— (a) is a disclosure of protected material obtained by it under section 112, (b) is made to the Natural Environment Research Council, or any other similar body carrying on geological activities, and (c) is made for the purpose of enabling the body to prepare and publish reports and surveys of a general nature using information derived from the protected (4) A person to whom protected material is disclosed by virtue of sub-paragraph (1) or (3) may use the protected material only for the purpose mentioned in sub- paragraph (1)(b) or (3)(c) (as the case may be). (5) Section 113 does not prohibit a person mentioned in sub-paragraph (4) from disclosing the protected material so far as necessary for the purpose mentioned in (a) to remove a person from column 1, (b) to add to column 1 a person to whom sub-paragraph (7) applies, or (c) to add, remove or change entries in column 2. (7) This sub-paragraph applies to— (a) persons holding office under the Crown; (b) persons in the service or employment of the Crown; (c) persons acting on behalf of the Crown; (e) publicly owned companies as defined in section 6 of the Freedom of (8) Regulations under sub-paragraph (6) are subject to the affirmative procedure. Schedule 7 – Permitted disclosures of material obtained by OGA 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) I482 Sch. 7 para. 1 in force at 26.12.2023, see s. 334(3)(b) Disclosure required for returns and reports prepared by OGA 2 (1) Section 113 does not prohibit the OGA from using protected material obtained by the OGA under section 112 for the purpose of— (a) preparing such returns and reports as may be required under obligations (b) preparing and publishing reports and surveys of a general nature using information derived from the protected material. (2) Section 113 does not prohibit the OGA from disclosing protected material so far as I483 Sch. 7 para. 2 in force at 26.12.2023, see s. 334(3)(b) Disclosure in exercise of certain OGA powers 3 Section 113 does not prohibit a disclosure of protected material if it is made in the exercise of the OGA’s powers under section 121 (publication of details of sanctions). I484 Sch. 7 para. 3 in force at 26.12.2023, see s. 334(3)(b) Disclosure after specified period 4 (1) Section 113 does not prohibit protected material obtained by the OGA (b) made available to the public (where the protected material includes samples), by the OGA or a subsequent holder at such time as may be specified in regulations made by the Secretary of State. (2) Regulations under sub-paragraph (1) may include provision permitting protected material to be published, or made available to the public, immediately after it is (3) Before making regulations under sub-paragraph (1) , the Secretary of State must consult such persons as the Secretary of State considers appropriate. (4) Sub-paragraph (3) does not apply if the Secretary of State is satisfied that consultation is unnecessary having regard to consultation carried out by the OGA in relation to what time should be specified in regulations under sub-paragraph (1). (5) Regulations under sub-paragraph (1) are subject to the affirmative procedure. Schedule 7 – Permitted disclosures of material obtained by OGA 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 determining the time to be specified in respect of protected material in regulations under sub-paragraph (1), the Secretary of State must have regard to the following (a) whether the specified time will allow owners of protected material a reasonable period of time to satisfy the main purpose for which they acquired (b) any potential benefits to the carbon storage industry of protected material being published or made available at the specified time; (c) any potential risk that the specified time may discourage persons from acquiring or creating carbon storage information or carbon storage samples; (d) any other factors the Secretary of State considers relevant. (7) In balancing the factors mentioned in sub-paragraph (6)(a) to (d), the Secretary of State must take into account the principal objectives of the Secretary of State set out (8) For the purposes of sub-paragraph (6) (a), the owner of protected material is the person by whom, or on whose behalf, the protected material was provided to the I485 Sch. 7 para. 4 in force at 26.12.2023, see s. 334(3)(b) Disclosure with appropriate consent 5 (1) Section 113 does not prohibit a disclosure of protected material if it is made with (2) For this purpose a disclosure is made with the appropriate consent if— (a) in the case of disclosure by the OGA, the original owner consents to the (b) in the case of disclosure by a subsequent holder— (i) the OGA consents to the disclosure, and (ii) where the protected material in question was provided to the OGA under section 112, the OGA confirms that the original owner of the material also consents to the disclosure. (3) For the purposes of sub-paragraph (2) , the original owner of protected material provided to the OGA is the person by whom, or on whose behalf, the protected I486 Sch. 7 para. 5 in force at 26.12.2023, see s. 334(3)(b) Disclosure required by legislation 6 Section 113 does not prohibit a disclosure of protected material required by virtue of an obligation imposed by or under this or any other Act. Schedule 8 – Carbon storage information and appeals 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) I487 Sch. 7 para. 6 in force at 26.12.2023, see s. 334(3)(b) Disclosure for purpose of proceedings 7 (1) Section 113 does not prohibit a disclosure of protected material by the OGA for the purposes of, or in connection with— (2) Section 113 does not prohibit a disclosure of protected material by the OGA for the purposes of, or in connection with— (a) the investigation or prosecution of criminal offences, or (b) the prevention of criminal activity. I488 Sch. 7 para. 7 in force at 26.12.2023, see s. 334(3)(b) Appeals in relation to information and samples plans 1 (1) A person affected by any decision of the OGA to which effect is given by the preparation of an information and samples plan may appeal against it to the (a) on the ground that the decision was not within the powers of the OGA, or (b) on the ground that the plan is unreasonable. (2) On an appeal under this paragraph the Tribunal may— (a) affirm, vary or quash the decision under appeal, (b) remit the decision under appeal to the OGA for reconsideration with such directions (if any) as the Tribunal considers appropriate, or (c) substitute its own decision for the decision under appeal. I489 Sch. 8 para. 1 in force at 26.12.2023, see s. 334(3)(b)

Schedule 8 – Carbon storage information and appeals 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) Appeals against notices requiring provision of information or samples 2 (1) A person affected by any decision of the OGA to which effect is given by the giving of a notice requiring the provision of information or samples under section 112 may appeal against it to the Tribunal— (a) on the ground that the decision was not within the powers of the OGA, or (b) on the ground that the length of time given to comply with the notice is (2) On an appeal under this paragraph the Tribunal may— (a) affirm, vary or quash the decision under appeal, (b) remit the decision under appeal to the OGA for reconsideration with such directions (if any) as the Tribunal considers appropriate, or (c) substitute its own decision for the decision under appeal. I490 Sch. 8 para. 2 in force at 26.12.2023, see s. 334(3)(b) Appeals in relation to sanction notices 3 (1) Where a sanction notice is given under section 115 in respect of a failure to comply with a sanctionable requirement, an appeal may be made— (a) under paragraph 4 (on the ground that there was no such failure to comply); (b) under paragraph 5 (against the sanction imposed by the notice). (2) Where an appeal is made in relation to a sanction notice, the notice ceases to have effect until a decision is made by the Tribunal to confirm, vary or cancel the notice. (3) Where, on an appeal made in relation to a sanction notice— (a) the Tribunal makes a decision to confirm or vary the notice, and (b) an appeal is or may be made in relation to that decision, the Tribunal, or the Upper Tribunal, may further suspend the effect of the notice pending a decision which disposes of proceedings on such an appeal. I491 Sch. 8 para.
3 in force at 26.12.2023, see s. 334(3)(b) Appeals against finding of failure to comply 4 (1) An appeal may be made to the Tribunal by the person, or by any of the persons, to whom a sanction notice is given in respect of a failure to comply with a sanctionable requirement, on the grounds that the person, or persons, did not fail to comply with

Schedule 8 – Carbon storage information and appeals 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) On an appeal under this paragraph, the Tribunal may confirm or cancel the sanction (3) Where sanction notices are given on more than one occasion in respect of the same failure to comply with a sanctionable requirement— (a) an appeal under this paragraph may be made only in relation to the sanction notice, or any of the sanction notices, given on the first of those occasions, (b) appeals in relation to sanction notices given on subsequent occasions in respect of that failure to comply may be made only under paragraph 5. I492 Sch. 8 para. 4 in force at 26.12.2023, see s. 334(3)(b) Appeals against sanction imposed 5 (1) Where a sanction notice is given in respect of a failure to comply with a sanctionable requirement, a person mentioned in sub- paragraph (2) may appeal to the Tribunal against any of the decisions of the OGA mentioned in sub-paragraph (3) (as to the sanction imposed by the notice) on the grounds mentioned in sub-paragraph (4). (2) The persons who may appeal are— (a) the person, or any of the persons, to whom the notice was given, and (b) in the case of an operator removal notice under section 119, the licensee under whose carbon storage licence the exploration operator operates. (3) The decisions against which an appeal may be made are— (a) where an enforcement notice has been given, the decision as to— (i) the measures that are required to be taken for the purposes of compliance with the sanctionable requirement, or (ii) the period for compliance with the sanctionable requirement; (b) where a financial penalty notice has been given, the decision— (i) to impose a financial penalty, or (ii) as to the amount of the financial penalty imposed; (c) where a revocation notice has been given, the decision to terminate the carbon storage licence or to revoke the storage permit; (d) where an operator removal notice has been given, the decision to require the removal of the exploration operator. (4) The grounds on which an appeal may be made are that the decision of the OGA— (b) was not within the powers of the OGA. (5) On an appeal under this paragraph against a decision made in relation to an enforcement notice, the Tribunal may— (a) confirm or quash the decision, in the case of a decision mentioned in sub- paragraph (3)(a)(i) (remedial action), or (b) confirm or vary the decision, in the case of a decision mentioned in sub- paragraph (3)(a)(ii) (period for compliance),

Schedule 8 – Carbon storage information and appeals 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) and confirm, vary or cancel the enforcement notice accordingly. (6) On an appeal under this paragraph against a decision made in relation to a financial penalty notice, the Tribunal may— (a) confirm or quash the decision, in the case of a decision mentioned in sub- paragraph (3)(b)(i) (imposition of penalty), or (b) confirm or vary the decision, in the case of a decision mentioned in sub- paragraph (3)(b)(ii) (amount of penalty), and confirm, vary or cancel the financial penalty notice accordingly. (7) The Tribunal must have regard to any guidance issued by the OGA under section 117(6)(a) when deciding whether to confirm or vary a decision as to the amount of a financial penalty under sub-paragraph (6)(b). (8) On an appeal under this paragraph against a decision to terminate a carbon storage licence, to revoke a storage permit or to require the removal of an exploration (b) vary the decision by changing the revocation date or the removal date, as and confirm, vary or cancel the sanction notice in question accordingly. (9) Where a decision is quashed under sub-paragraph (5)(a), (6)(a) or (8), the Tribunal may remit the decision to the OGA for reconsideration with such directions (if any) as the Tribunal considers appropriate. I493 Sch. 8 para. 5 in force at 26.12.2023, see s. 334(3)(b) Appeals against information requirements 6 (1) A person to whom a notice is given under section 124 may appeal against it to the (a) the giving of the notice is not within the powers of the OGA, or (b) the length of time given to comply with the notice is unreasonable. (2) On an appeal under this paragraph the Tribunal may— (a) confirm, vary or cancel the notice, or (b) remit the matter under appeal to the OGA for reconsideration with such directions (if any) as the Tribunal considers appropriate. I494 Sch. 8 para. 6 in force at 26.12.2023, see s. 334(3)(b)

Schedule 9 – Independent System Operator and transfers 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) Power to make a transfer scheme 1 (1) The Secretary of State may make one or more schemes for the transfer of designated property, rights or liabilities from one person to another person— (a) in preparation for or in connection with the designation of a person (b) for the purpose of enabling the ISOP to carry out any of its functions.
(2) The Secretary of State may, during the period of 7 years beginning with the day on which this Act is passed, make one or more schemes for the transfer of designated property, rights or liabilities from one person to another person in connection with the operation or management of— (a) a document maintained in accordance with the conditions of a relevant (b) an agreement that gives effect to a document so maintained. (a) “transfer scheme” means a scheme under either or both of sub-paragraphs (b) “transferor”, in relation to a transfer scheme, means a person from whom property, rights or liabilities are or are to be transferred under the scheme; (c) “transferee”, in relation to a transfer scheme, means a person to whom property, rights or liabilities are or are to be transferred under the scheme. (4) In this Part of this Schedule— (a) “designated”, in relation to a transfer scheme, means specified in or determined in accordance with the scheme; (b) “the TUPE regulations” means the Transfer of Undertakings (Protection of Employment) Regulations 2006 (S.I. 2006/246); (c) references to property are to property situated in the United Kingdom or (d) references to the transfer of property include the grant of a lease; (e) references to rights and liabilities— (i) are references to rights and liabilities of any kind, arising (in any way or at any time) under the law of a part of Great Britain or of a (ii) include rights and liabilities arising under or by virtue of an I495 Sch. 9 para. 1 in force at Royal Assent, see s. 334(2)(h)(ii)

Schedule 9 – Independent System Operator and transfers 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 (1) Before making a transfer scheme, the Secretary of State must consult— (a) the transferor (or, if there is more than one transferor, the transferors), and (b) such other persons as the Secretary of State considers appropriate. (2) Sub-paragraph (1) may be satisfied by consultation before the passing of this Act (as well as by consultation after that time). I496 Sch. 9 para. 2 in force at Royal Assent, see s. 334(2)(h)(ii) Transfer of property, rights and liabilities 3 (1) The transfer of designated property, rights and liabilities under a transfer scheme takes effect on the date (or dates) specified in or determined in accordance with the (2) Sub-paragraph (1) has effect notwithstanding any provision (whether under an enactment or agreement or otherwise) that would otherwise prevent or restrict the (3) The things that may be transferred under a transfer scheme include— (a) rights, powers, duties and liabilities under or in connection with a contract of employment (see paragraph 4); (b) property, rights and liabilities that could not otherwise be transferred; (c) property acquired, and rights and liabilities arising, after the making of the I497 Sch. 9 para. 3 in force at Royal Assent, see s. 334(2)(h)(ii) 4 (1) This paragraph applies where, under a transfer scheme, an employee to whom the scheme applies becomes an employee of a transferee. (2) The transfer scheme may apply to— (a) all persons who are employees of a transferor, (b) such descriptions of a transferor’s employees as the scheme may specify, or (c) such employees of a transferor as the scheme may specify. (3) The transfer scheme may include provision— (a) that has the same or similar effect as the TUPE regulations (so far as those regulations do not apply to any extent in relation to the transfer); (b) about the pension entitlements of the employee enjoyed immediately before (4) The transfer scheme must contain provision enabling an employee to whom the scheme applies to object to the transfer before the relevant time, including provision as to how such an objection is to be made and as to the consequences of it. Schedule 9 – Independent System Operator and transfers 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 transfer scheme may provide that a person who is assigned to work for a transferor (whether on secondment or otherwise and whether or not on a full-time basis), but who does not have a contract of employment with the transferor, is to be treated for the purposes of any provision of the scheme as an employee of the (6) The transfer scheme may provide that a collective agreement that, immediately before the relevant time, had effect in relation to an employee’s employment with a transferor is to have effect on and after the relevant time in relation to the employee’s “collective agreement” has the same meaning as in the Trade Union and Labour Relations (Consolidation) Act 1992 (see section 178(1) of that Act); “employee” has the same meaning as in the TUPE regulations (see regulation 2(1) of the regulations); “the relevant time” means the time at which the transfer of the person’s employment takes effect in accordance with the transfer scheme. I498 Sch. 9 para. 4 in force at Royal Assent, see s. 334(2)(h)(ii) 5 (1) A transfer scheme may make provision requiring a transferor to provide such co- operation to a transferee as the transferee may reasonably require in connection with the implementation of the scheme. (2) The co-operation that may be required by virtue of sub-paragraph (1) includes, in particular, co-operation in relation to— (a) the provision of information; (b) consultation with representatives of employees transferred by the scheme. I499 Sch. 9 para.
5 in force at Royal Assent, see s. 334(2)(h)(ii) 6 (1) A transfer scheme may make supplementary, incidental, transitional or consequential provision and may in particular— (a) create rights, or impose liabilities, in relation to property, rights or liabilities (b) make provision about the continuing effect of things done by a transferor in respect of anything transferred; (c) make provision about the continuation of things (including legal proceedings) in the process of being done by, on behalf of, or in relation to, a transferor in respect of anything transferred; (d) make provision for references to a transferor in any instrument or other document in respect of anything transferred to be treated as references to the (e) prevent a right of pre-emption, right of reverter, right of forfeiture, right to compensation or other similar right from arising or becoming exercisable as

Schedule 9 – Independent System Operator and transfers 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) dispense with any formality in relation to the transfer of anything by the (g) make provision for the shared ownership or use of property; (h) require a transferor, an associate of a transferor, or a transferee, to enter into any agreement of any kind, or for a purpose, specified in or determined in (2) Sub-paragraph (1)(d) does not apply to references in— (b) subordinate legislation within the meaning of the Interpretation Act 1978 (see section 21(1) of that Act), or (c) an instrument made under an Act of the Scottish Parliament, an Act or Measure of Senedd Cymru, or Northern Ireland legislation. (3) Any requirement imposed on a person by a transfer scheme is enforceable by the Secretary of State in civil proceedings— (b) for specific performance of a statutory duty under section 45 of the Court (c) for any other appropriate remedy or relief. (4) A certificate issued by the Secretary of State to the effect that any property, interest, right or liability transferred in accordance with a transfer scheme to a person specified in the certificate at a time so specified is conclusive evidence of the matters so “associate” has the meaning given by section 1152 of the Companies Act (b) an Act of the Scottish Parliament, (c) an Act or Measure of Senedd Cymru, or (d) Northern Ireland legislation. I500 Sch. 9 para. 6 in force at Royal Assent, see s. 334(2)(h)(ii) (a) make different provision for different purposes; (b) make provision subject to exceptions. I501 Sch. 9 para. 7 in force at Royal Assent, see s. 334(2)(h)(ii) I497 Sch. 9 para. 3 in force at Royal Assent, see s. 334(2)(h)(ii)

Schedule 9 – Independent System Operator and transfers 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) I498 Sch. 9 para. 4 in force at Royal Assent, see s. 334(2)(h)(ii) I499 Sch. 9 para. 5 in force at Royal Assent, see s. 334(2)(h)(ii) I500 Sch. 9 para. 6 in force at Royal Assent, see s. 334(2)(h)(ii) I501 Sch. 9 para. 7 in force at Royal Assent, see s. 334(2)(h)(ii) 8 (1) A transfer scheme may provide for a transferor to be entitled to compensation from the Secretary of State, in accordance with provision made by or under the scheme, to the extent that the scheme makes provision— (a) in preparation for or in connection with the first designation of a person (b) for the purpose of facilitating the carrying on by the ISOP of any of its (2) Where a transferor is entitled to compensation by virtue of sub-paragraph (1), the amount of compensation is to be the amount— (a) agreed by the Secretary of State and the transferor, or (b) in the absence of such agreement, determined by an independent valuer. (3) For the purposes of sub-paragraph (2) an independent valuer must be appointed— (a) by the Secretary of State and the transferor, or (b) in the absence of such agreement, by the Secretary of State on behalf of both the Secretary of State and the transferor. (4) The Secretary of State may by regulations make provision— (a) for determining when there is an absence of agreement for the purposes of sub-paragraph (2)(b) or (3)(b); (b) about the procedure to be followed by an independent valuer in making a determination for the purposes of sub-paragraph (2)(b) (“a compensation (c) specifying matters to which an independent valuer must have regard, or assumptions that an independent valuer must apply, in making a (d) for an independent valuer to require the Secretary of State or the transferor to provide such information to the independent valuer as the independent valuer reasonably requires for the purposes of making a compensation (e) for an independent valuer’s determination to be binding on the Secretary of State and the transferor for the period specified in or determined under the (f) about remuneration and expenses of an independent valuer; (g) about enforcement of requirements imposed by the regulations. (5) Regulations under sub-paragraph (4) may confer a discretion on a person. I502 Sch. 9 para. 8 in force at Royal Assent, see s. 334(2)(h)(ii)

Schedule 9 – Independent System Operator and transfers 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) 9 (1) The Treasury may by regulations make provision varying the way in which a relevant tax has effect in relation to— (a) anything transferred, acquired or disposed of under a transfer scheme, or (b) anything done for the purposes of, or in relation to, a transfer under a transfer (2) The provision that may be made under sub-paragraph (1)(a) includes, in particular, (a) a tax provision not to apply, or to apply with modifications, in relation to (b) anything transferred to be treated in a specified way for the purposes of a (c) the Secretary of State to be required or permitted to determine, or to specify the method for determining, anything that needs to be determined for the purposes of any tax provision so far as relating to anything transferred. (3) The provision that may be made under sub-paragraph (1)(b) includes, in particular, (a) a tax provision not to apply, or to apply with modifications, in relation to anything done for the purposes of, or in relation to, the transfer; (b) anything done for the purposes of, or in relation to, the transfer to have or not have a specified consequence or be treated in a specified way; (c) the Secretary of State to be required or permitted to determine, or to specify the method for determining, anything that needs to be determined for the purposes of any tax provision so far as relating to anything done for the purposes of, or in relation to, the transfer. (4) A statutory instrument containing regulations under this paragraph is subject to annulment in pursuance of a resolution of the House of Commons. “relevant tax” means income tax, corporation tax, capital gains tax, stamp duty, stamp duty reserve tax, stamp duty land tax or value added tax; “tax provision” means any provision— I503 Sch. 9 para. 9 in force at Royal Assent, see s. 334(2)(h)(ii) Power to amend transfer scheme 10 (1) The Secretary of State may amend a transfer scheme if the Secretary of State considers that the amendment is appropriate— (a) in preparation for or in connection with the designation of a person (b) for the purpose of enabling the ISOP to carry out any of its functions, or (c) for the purpose of enabling a transferor to carry out any of its functions. Schedule 9 – Independent System Operator and transfers 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 power under sub-paragraph (1) is not exercisable in relation to a transfer scheme after the end of the period of 12 months beginning with the day on which the scheme (3) Paragraphs 2 to 7 apply in relation to the amendment of a transfer scheme as they apply in relation to a transfer scheme. (4) A transfer scheme may provide for a transferor or transferee under the scheme to be entitled to compensation in consequence of the amendment of the scheme. (5) Paragraph 8(2) to (5) applies (with any necessary modifications) in relation to an entitlement to compensation under sub-paragraph (4) as it applies in relation to an entitlement to compensation under paragraph 8(1). I504 Sch. 9 para. 10 in force at Royal Assent, see s. 334(2)(h)(ii) National Security and Investment Act 2021 11 The making of a transfer scheme is not a trigger event for the purposes of the National Security and Investment Act 2021. I505 Sch. 9 para. 11 in force at Royal Assent, see s. 334(2)(h)(ii) Provision of information or assistance 12 (1) The Secretary of State may direct a person within sub-paragraph (2) to provide the Secretary of State with such specified information or assistance as the Secretary of (a) in preparation for or in connection with the designation of a person (b) in connection with the making of a transfer scheme. (2) A person is within this sub-paragraph if— (a) property, rights or liabilities are likely to be transferred from or to the person (b) the person is a body corporate that is likely to be transferred under a transfer (3) The Secretary of State may direct a person (other than a person within sub- paragraph (2)) to provide the Secretary of State with such specified information or assistance as the Secretary of State may reasonably require in preparation for or in connection with the designation of a person under section 162(1). Schedule 9 – Independent System Operator and transfers 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 direction under sub-paragraph (1) or (3) must— (b) specify the sub-paragraph under which it is given. (5) The power to give a direction under sub-paragraph (3) ceases to be exercisable— (a) at the end of the period of 3 years beginning with the time from which the first designation under section 162(1) has effect, or (b) if at any time before the end of that period a transfer scheme is made under paragraph 1(1), at the end of the period of 3 years beginning with the date (or, if there is more than one, the first date) from which the transfer of property, rights or liabilities under the scheme takes effect. (6) A person to whom a direction is given under sub-paragraph (1) or (3) must, so far as reasonably practicable, provide the Secretary of State with the specified information (a) within the specified period, and (b) in the specified form and manner. (7) A direction under sub-paragraph (1) or (3) is enforceable by the Secretary of State (b) for specific performance of a statutory duty under section 45 of the Court (c) for any other appropriate remedy or relief.
(a) must reimburse a person in respect of costs reasonably incurred by the person in complying with a direction under sub-paragraph (1) or (3); (b) may reimburse a person in respect of costs reasonably incurred by the person in complying with a request (whether made before or after the day on which this Act is passed) to provide the Secretary of State with information reasonably required by the Secretary of State for a purpose mentioned in “assistance” includes assistance provided in a country or territory other “information” includes documents; “specified” means specified in the direction. I506 Sch. 9 para. 12 in force at Royal Assent, see s. 334(2)(h)(ii) 13 (1) A person within sub-paragraph (2) must co-operate with, and so far as practicable must not take any step that may reasonably be expected to impede, the Secretary of State in relation to the doing of anything by the Secretary of State—

Schedule 10 – Independent System Operator and pensions 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) in preparation for or in connection with the first designation of a person (b) in connection with the making of a transfer scheme. (2) The persons within this sub-paragraph are— (a) National Grid plc and its associates (within the meaning of section 1152 of (b) any person who, at any time during the period mentioned in sub- paragraph (3), has acquired property, rights or liabilities from a person within paragraph (a) (whether or not as a result of a transfer scheme (3) The period mentioned in sub-paragraph (2)(b) is the period beginning on 20 July 2021 and ending with the first designation of a person under section 162(1). I507 Sch. 9 para. 13 in force at Royal Assent, see s. 334(2)(h)(ii) Reimbursement and further provision 14 (1) The Secretary of State may reimburse a person in respect of expenditure reasonably (a) in preparation for or in connection with the designation of a person (b) in connection with the making of a transfer scheme. (2) The Secretary of State may make regulations providing for the payment of compensation by the Secretary of State to a person (other than the transferor in relation to a transfer scheme) who has suffered loss or damage in consequence of anything done by the Secretary of State in preparation for or in connection with the designation of a person under section 162(1). I508 Sch. 9 para. 14 in force at Royal Assent, see s. 334(2)(h)(ii) “active member” has the same meaning as in section 124(1) of the “associate” has the same meaning as in section 1152 of the Companies

Schedule 10 – Independent System Operator and pensions 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) “member” has the same meaning as in section 124(1) of the Pensions Act “prescribed” means prescribed by regulations made by the Secretary of “qualifying accrued rights” means— (a) any right which, at the relevant time, has accrued to or in respect of a qualifying member of a qualifying pension scheme to future benefits (b) any entitlement under a qualifying pension scheme to the present payment of a pension or other benefit that a qualifying member of the scheme has at the relevant time, or (c) any entitlement to benefits, or rights to future benefits, under a qualifying pension scheme that a person who has survived a qualifying member of the scheme has at the relevant time in respect of the “qualifying member”, in relation to a qualifying pension scheme, means a person who is or has been a member of the scheme; “qualifying pension scheme” means a pension scheme that provides for the payment of pensions or other benefits to or in respect of employees or (a) a transferor in relation to a transfer scheme under paragraph 1 (b) an associate of such a transferor; “the relevant time” means the time immediately before the prescribed date (which may be before the passing of this Act). (2) For the purposes of the definition of “qualifying accrued rights” in sub- (a) references to pensions or other benefits (including future benefits) include (b) references to a right include a pension credit right. (3) In the event that a section of a qualifying pension scheme is constituted as a separate pension scheme the members of which consist of or include persons who are qualifying members of the qualifying pension scheme, any reference in this Schedule to the qualifying pension scheme includes a reference to that separate I509 Sch. 10 para. 1 in force at Royal Assent, see s. 334(2)(h)(ii) Participation in qualifying pension schemes and transfer of assets and rights 2 (1) The Secretary of State may by regulations make such pensions provision as the Secretary of State considers appropriate— (a) in preparation for or in connection with the designation of a person (b) otherwise in connection with the making of a transfer scheme under

Schedule 10 – Independent System Operator and pensions 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) “Pensions provision” means provision in connection with a qualifying pension scheme, including provision for— (a) enabling an entity to which sub-paragraph (3) applies to participate in the (b) the division of the scheme into different sections; (c) the participation in the different sections of different persons (including entities to which sub-paragraph (3) applies); (d) the allocation of assets, rights, liabilities or obligations between the different (e) the transfer of assets and qualifying accrued rights from the scheme to another pension scheme (whether or not a qualifying pension scheme), without the need for any approval or consent to the transfer; (f) the valuation of assets and qualifying accrued rights in accordance with provision made by the regulations, for the purposes of their allocation to a particular section or for the purposes of their transfer as mentioned in (g) the discharge of liabilities in respect of qualifying accrued rights that are (3) This sub-paragraph applies to the following entities— (c) any other entity which employs a person— (i) whose contract of employment is transferred by a transfer scheme under paragraph 1 of Schedule 9, and (ii) who is an active member of the qualifying pension scheme at the (4) Regulations under sub-paragraph (1) may have retrospective effect. (5) Before making regulations under sub-paragraph (1) , the Secretary of State must (a) the trustee of the qualifying pension scheme or schemes in question, and (b) the person who is the principal employer in relation to that scheme or those I510 Sch. 10 para. 2 in force at Royal Assent, see s. 334(2)(h)(ii) Amendment of qualifying pension schemes 3 (1) The Secretary of State may by regulations make such amendments of a qualifying pension scheme as the Secretary of State considers appropriate— (a) in preparation for or in connection with the designation of a person (b) otherwise in connection with the making of a transfer scheme under

Schedule 10 – Independent System Operator and pensions 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 connection with the making of regulations under paragraph 2 of this (2) The provision that may be made under sub-paragraph (1) includes— (a) provision authorising or requiring the amount of pensions or other benefits payable to or in respect of qualifying members of the scheme to be determined in particular circumstances by reference to pensionable service under the scheme in question before and after the relevant time; (b) provision for the transfer out of assets, rights, liabilities or obligations from one or more new sections of a qualifying pension scheme to another pension scheme (whether or not a qualifying pension scheme); (c) provision for the transfer in of assets, rights, liabilities or obligations to one or more new sections of one qualifying pension scheme from one or more new sections of another qualifying pension scheme. (3) Regulations under sub-paragraph (1) may have retrospective effect. (4) Before making regulations under sub-paragraph (1) , the Secretary of State must (a) the trustee of the qualifying pension scheme being amended, and (b) the person who is the principal employer in relation to that scheme. (a) the reference to making amendments of a qualifying pension scheme includes a reference to amending the trust deed or rules of that scheme or any other instrument relating to the constitution, management or operation (b) references to a “new” section of a qualifying pension scheme are to one of the sections into which the scheme is divided by regulations under (c) “pensionable service” has the same meaning as in section 124(1) of the I511 Sch. 10 para. 3 in force at Royal Assent, see s. 334(2)(h)(ii) Protection against adverse treatment 4 (1) When exercising the power to make regulations under paragraph 2 or 3, the Secretary of State must ensure that the following requirements are met in respect of each person who is or has been a qualifying member of a qualifying pension scheme— (a) the general scheme requirement; (b) where the regulations relate to a person’s rights or entitlements to money purchase benefits other than pensions in payment, the money purchase (2) The general scheme requirement is that the provision for the payment of pensions or other benefits that is contained in a qualifying pension scheme or any other pension scheme to which a transfer is made by virtue of paragraph 2(2)(e) is, in all material respects, at least as good immediately after the exercise of the power as it is immediately before its exercise. Schedule 10 – Independent System Operator and pensions 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 money purchase requirement is that the value of the rights or entitlements to money purchase benefits, other than pensions in payment, that a person has under a qualifying pension scheme or any other pension scheme to which a transfer is made by virtue of paragraph 2(2)(e) immediately after, and as a result of, the exercise of the power is at least equivalent to the value of the person’s rights or entitlements (4) Nothing in sub-paragraph (1) requires— (a) the different sections (if any) of a qualifying pension scheme to be established in a particular way, (b) particular provisions of the sections, or of a pension scheme to which a transfer is made by virtue of paragraph 2(2)(e), to take the same or similar (c) any power or duty conferred or imposed by a qualifying pension scheme to be exercised or performed in a particular way.
(5) The power of the Secretary of State to amend a qualifying pension scheme may not be exercised in any way that would or might adversely affect any provision of the scheme made in respect of qualifying accrued rights unless— (a) the applicable consent requirements are satisfied in respect of the exercise (b) the scheme is amended in the prescribed manner. (6) The applicable consent requirements are the requirements that apply in relation to obtaining the consent of members of the scheme to its amendment (including any such requirements set out in the trust deed or rules of the scheme). I512 Sch. 10 para. 4 in force at Royal Assent, see s. 334(2)(h)(ii) 5 (1) The Secretary of State may direct a person within sub-paragraph (3) to provide the (a) such specified pensions information, or (b) such specified assistance, as the Secretary of State may reasonably require in preparation for or in connection with the exercise of a power conferred on the Secretary of State by this Schedule. (2) “Pensions information” means information that— (a) relates to pensions or other benefits under a qualifying pension scheme, or (b) relates to the administration of a qualifying pension scheme in respect of pensions or other benefits under the scheme. (3) The following persons are within this sub-paragraph— (a) the trustee of a qualifying pension scheme; (b) any person who exercises functions on behalf of a person (c) any person who is or has been an employer of a qualifying member of a

Schedule 10 – Independent System Operator and pensions 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) The power under sub-paragraph (1) ceases to be exercisable— (a) at the end of the period of 3 years beginning with the time from which the first designation under section 162(1) has effect, or (b) if at any time before the end of that period a transfer scheme is made under paragraph 1(1) of Schedule 9, at the end of the period of 3 years beginning with the date (or, if there is more than one, the first date) from which the transfer of property, rights or liabilities under the scheme takes effect. (5) A person to whom a direction is given under sub-paragraph (1) must, so far as reasonably practicable, provide the Secretary of State with the specified pensions (a) within the specified period, and (b) in the specified form and manner. (6) A direction under sub-paragraph (1) is enforceable by the Secretary of State in civil (b) for specific performance of a statutory duty under section 45 of the Court (c) for any other appropriate remedy or relief. (7) The Secretary of State must reimburse a person for costs reasonably incurred by the person in complying with a direction under sub-paragraph (1). (8) In this paragraph, “specified” means specified in the direction. I513 Sch. 10 para. 5 in force at Royal Assent, see s. 334(2)(h)(ii) 6 Any requirement imposed by this Schedule to carry out consultation may be satisfied by consultation before the passing of this Act (as well as by consultation after that I514 Sch. 10 para. 6 in force at Royal Assent, see s. 334(2)(h)(ii) National Security and Investment Act 2021 7 The exercise by the Secretary of State of a power conferred on the Secretary of State by any provision of this Schedule is not a trigger event for the purposes of the National Security and Investment Act 2021. I515 Sch. 10 para. 7 in force at Royal Assent, see s. 334(2)(h)(ii)

Schedule 11 – Minor and consequential amendments relating to Part 5 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 The Gas Act 1986 is amended as follows. I516 Sch. 11 para. 1 not in force at Royal Assent, see s. 334(1) I517 Sch. 11 para. 1 in force at 1.10.2024 by S.I. 2024/957, reg. 2(c) 2 In section 6A (exemptions from prohibition), in subsection (1), after “(c)” insert “, I518 Sch. 11 para. 2 not in force at Royal Assent, see s. 334(1) I519 Sch. 11 para. 2 in force at 1.10.2024 by S.I. 2024/957, reg. 2(c) I516 Sch. 11 para. 1 not in force at Royal Assent, see s. 334(1) I517 Sch. 11 para. 1 in force at 1.10.2024 by S.I. 2024/957, reg. 2(c) I518 Sch. 11 para. 2 not in force at Royal Assent, see s. 334(1) I519 Sch. 11 para. 2 in force at 1.10.2024 by S.I. 2024/957, reg. 2(c) 3 The Electricity Act 1989 is amended as follows. I520 Sch. 11 para. 3 not in force at Royal Assent, see s. 334(1) I521 Sch. 11 para. 3 in force at 31.1.2024 by S.I. 2024/32, reg. 3(a)(ix) 4 In section 4 (prohibition on unlicensed supply, transmission etc of electricity), in (a) omit paragraph (a) (including the “or” at the end); (b) in paragraph (b), for “such a transmission system” substitute “a transmission system by means of which the transmission of electricity takes I522 Sch. 11 para. 4 not in force at Royal Assent, see s. 334(1) I523 Sch. 11 para. 4 in force at 1.10.2024 by S.I. 2024/957, reg. 2(c)

Schedule 11 – Minor and consequential amendments relating to Part 5 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 In section 5 (exemptions from prohibition), in subsection (1), after “(c),” insert I524 Sch. 11 para. 5 not in force at Royal Assent, see s. 334(1) I525 Sch. 11 para. 5 in force at 1.10.2024 by S.I. 2024/957, reg.
2(c) 6 In section 10 (powers etc of licence holders), in subsection (1)(a), after “licence” insert “or of an electricity system operator licence”. I526 Sch. 11 para. 6 not in force at Royal Assent, see s. 334(1) I527 Sch. 11 para. 6 in force at 31.1.2024 by S.I. 2024/32, reg. 3(a)(ix) 7 In section 49 (keeping of register), in subsection (2)(c), after “under” insert “or in I528 Sch. 11 para. 7 not in force at Royal Assent, see s. 334(1) I529 Sch. 11 para. 7 in force at 31.1.2024 by S.I. 2024/32, reg. 3(a)(ix) I520 Sch. 11 para. 3 not in force at Royal Assent, see s. 334(1) I521 Sch. 11 para. 3 in force at 31.1.2024 by S.I. 2024/32, reg. 3(a)(ix) I522 Sch. 11 para. 4 not in force at Royal Assent, see s. 334(1) I523 Sch. 11 para. 4 in force at 1.10.2024 by S.I. 2024/957, reg. 2(c) I524 Sch. 11 para. 5 not in force at Royal Assent, see s. 334(1) I525 Sch. 11 para. 5 in force at 1.10.2024 by S.I. 2024/957, reg. 2(c) I526 Sch. 11 para. 6 not in force at Royal Assent, see s. 334(1) I527 Sch. 11 para. 6 in force at 31.1.2024 by S.I. 2024/32, reg. 3(a)(ix) I528 Sch. 11 para. 7 not in force at Royal Assent, see s. 334(1) I529 Sch. 11 para. 7 in force at 31.1.2024 by S.I. 2024/32, reg. 3(a)(ix) 8 (1) Section 105 of the Utilities Act 2000 (general restrictions on disclosure of information) is amended as follows. (2) In subsection (1)(a), after “Part 1 of the Energy Act 2023” (inserted by paragraph 5(a) of Schedule 5 to this Act) insert “or Part 5 of that Act”. (3) In subsection (4), after paragraph (ba) insert— “(bb) for the purpose of facilitating the performance by the Independent System Operator and Planner of any of its functions;”. (4) In subsection (10), at the appropriate place insert—

Schedule 12 – Governance of gas and electricity industry transitional provision 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 Independent System Operator and Planner” means the person for the time being designated under section 162(1) of the Energy Act 2023;”. I530 Sch. 11 para. 8 not in force at Royal Assent, see s. 334(1) I531 Sch. 11 para. 8 in force at 31.1.2024 by S.I. 2024/32, reg. 3(a)(ix) Meaning of “qualifying document”, “qualifying contract” and “qualifying central system” 1 (1) In this Schedule, “qualifying document” means a document that— (a) is maintained in accordance with the conditions of a relevant licence, and (b) is designated for the purposes of this Schedule by notice given by the (2) Where at any time after the day on which this paragraph comes into force the whole or part of the provision made by a qualifying document is incorporated into a different document (“document B”), document B is to be treated for the purposes of this Schedule as if it were a qualifying document even if it is not designated under sub- (3) In this Schedule, “qualifying contract” means a contract— (a) that constitutes the whole or part of the arrangements under which a qualifying document has effect, (b) that relates to the governance of a qualifying document, or (c) that is a central system contract. (4) For the purposes of sub-paragraph (3)(c), a contract is a “central system contract” (a) it relates to the operation of a qualifying central system, and (b) the person responsible for operating or procuring the operation of the central system is a party to the contract. (5) In this Schedule, “qualifying central system” means a central system that is designated for the purposes of this Schedule by notice given by the Secretary of State. (6) The Secretary of State may revoke a designation under sub-paragraph (1)(b) or (5). (7) The Secretary of State may not designate a document or central system under sub- paragraph (1)(b) or (5), or revoke a designation, except so as to give effect to a (8) Before making a recommendation to the Secretary of State for the purposes of sub- paragraph (7), the GEMA must consult such persons as it considers appropriate. Schedule 12 – Governance of gas and electricity industry transitional provision 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) I532 Sch. 12 para. 1 not in force at Royal Assent, see s. 334(1) I533 Sch. 12 para. 1 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) Purposes for which powers under this Schedule may be exercised 2 (1) The GEMA may exercise a power conferred on it by paragraph 4, 6, 7, 8 or 11 only if the GEMA considers it appropriate to exercise the power— (a) for the purposes of or in connection with establishing the role of code manager in respect of a document that is expected to become a designated (b) in preparation for the granting of a code manager licence to a person in respect of a designated document, (c) for the purposes of facilitating the carrying out by the GEMA of its functions (d) for the purposes of promoting the efficient governance of arrangements under one or more qualifying documents (subject to sub-paragraph (2)), or (e) for the purposes of harmonising the governance of particular qualifying documents or of qualifying documents in general. (2) Sub-paragraph (1)(d) does not apply to the exercise of the power conferred by paragraph 6 in relation to a qualifying contract within paragraph 1(3)(b) or (c). I534 Sch. 12 para. 2 not in force at Royal Assent, see s. 334(1) I535 Sch. 12 para. 2 in force at 10.9.2024 by S.I. 2024/890, reg.
2(b)(ix) Expiry of powers under this Schedule 3 The powers conferred on the GEMA by paragraphs 4, 6, 7, 8 and 11 in relation to a particular qualifying document expire— (a) when the document becomes a designated document, or (b) if earlier, at the end of the period of 7 years after the day on which this I536 Sch. 12 para. 3 not in force at Royal Assent, see s. 334(1) I537 Sch. 12 para. 3 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) Modification of qualifying documents and relevant licences (b) the conditions of a particular relevant licence; (c) the standard conditions of relevant licences of a particular type. Schedule 12 – Governance of gas and electricity industry transitional provision 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) Before making a modification under sub-paragraph (1), the GEMA must— (a) publish a notice about the proposed modification, (b) send a copy of the notice to the persons listed in sub-paragraph (3), and (c) consider any representations made within the period specified in the notice about the proposed modification or the date from which it would take effect. (3) The persons mentioned in sub-paragraph (2)(b) are— (b) each relevant licence holder; (c) the National Association of Citizens Advice Bureaux; (d) the Scottish Association of Citizens Advice Bureaux; (f) where the proposed modification relates to a licence for the purposes of section 5 of the Gas Act 1986, the Health and Safety Executive; (g) such other persons as the GEMA considers appropriate. (4) A notice under sub-paragraph (2) must— (a) state that the GEMA proposes to make a modification; (b) set out the proposed modification and its effect; (c) specify the date from which the GEMA proposes that the modification will (d) state the reasons why the GEMA proposes to make the modification. (5) If, after complying with sub-paragraphs (2)to (4) in relation to a modification, the GEMA decides to make a modification, it must publish a notice about the decision. (6) A notice under sub-paragraph (5) must— (a) state that the GEMA has decided to make the modification; (b) set out the modification and its effect; (c) specify the date from which the modification has effect; (d) state how the GEMA has taken account of any representations made in the period specified in the notice under sub-paragraph (2); (e) state the reason for any differences between the modification set out in the notice and the proposed modification. (7) A notice under this paragraph about a modification or decision must be published in such manner as the GEMA considers appropriate for bringing it to the attention of those likely to be affected by the making of the modification or decision. (8) In this paragraph, “relevant licence holder”— (a) in relation to the modification of a qualifying document, means the holder of a relevant licence in accordance with the conditions of which the document (b) in relation to the modification of standard conditions of relevant licences of any type, means the holder of a relevant licence of that type— (i) that is to be modified by the inclusion of any new standard condition, (ii) that includes any standard conditions to which the modifications relate which are in effect during the period specified by virtue of sub-

Schedule 12 – Governance of gas and electricity industry transitional provision 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 relation to the modification of a condition of a particular relevant licence (other than a standard condition), means the holder of that particular relevant (9) For the purposes of this paragraph , “modification”, in relation to a qualifying document, includes the incorporation of the whole or part of the provision made by the document into another document. I538 Sch. 12 para. 4 not in force at Royal Assent, see s. 334(1) I539 Sch. 12 para. 4 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) 5 (1) Sub-paragraphs (2) and (3) apply where at any time the GEMA modifies the conditions of licences of any type under paragraph 4. (2) If the conditions modified are standard conditions, the GEMA must— (a) also make (as nearly as may be) the same modifications of those conditions for the purposes of their incorporation in licences of that type granted after (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 GEMA may make such incidental or consequential modifications of any conditions of licences of any type as it considers necessary or expedient. (4) The modification of part of a standard condition of a particular licence under paragraph 4 does not prevent any other part of the condition from continuing to be regarded as a standard condition for the purposes of Part 1 of the Electricity Act 1989 (in the case of a licence under section 6(1) of that Act) or Part 1 of the Gas Act 1986 (in the case of a licence under section 7, 7ZA, 7A or 7AB of that Act). I540 Sch. 12 para. 5 not in force at Royal Assent, see s. 334(1) I541 Sch. 12 para. 5 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) I538 Sch. 12 para. 4 not in force at Royal Assent, see s. 334(1) I539 Sch. 12 para. 4 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) I540 Sch. 12 para. 5 not in force at Royal Assent, see s. 334(1) I541 Sch. 12 para. 5 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) Amendment or termination of qualifying contracts 6 (1) The GEMA may amend a qualifying contract.
(2) Before making an amendment under sub-paragraph (1), the GEMA must— (a) send a notice about the proposed amendment to the persons listed in sub-

Schedule 12 – Governance of gas and electricity industry transitional provision 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) consider any representations made within the period specified in the notice about the proposed amendment or the date from which it would take effect. (3) A notice under sub-paragraph (2) must— (a) state that the GEMA proposes to make an amendment; (b) set out the proposed amendment and its effect; (c) specify the date from which the GEMA proposes that the amendment will (d) state the reasons why the GEMA proposes to make the amendment. (4) The persons mentioned in sub-paragraph (2)(a) are— (a) each person who is a party to the contract to which the proposed amendment (b) any person liable by virtue of paragraph 12 to make a payment by way of compensation as a result of the proposed amendment; (c) such other persons as the GEMA considers appropriate. (5) If, after complying with sub-paragraphs (2) to (4) in relation to an amendment, the GEMA decides to make an amendment, it must send a notice to the persons listed in sub-paragraph (4) about the decision. (6) A notice under sub-paragraph (5) must— (a) state that the GEMA has decided to make the amendment; (b) set out the amendment and its effect; (c) specify the date from which the amendment has effect; (d) state how the GEMA has taken account of any representations made in the period specified in the notice under sub-paragraph (2); (e) state the reason for any differences between the amendment set out in the notice and the proposed amendment. (7) In this paragraph, “amend”, in relation to a contract, includes terminate. I542 Sch. 12 para. 6 not in force at Royal Assent, see s. 334(1) I543 Sch. 12 para. 6 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) Arrangements in connection with code consolidation 7 (1) The GEMA may, in connection with the consolidation of one or more qualifying documents, make a scheme for the purpose of securing the continued effect of rights or liabilities under a contract that is a qualifying contract within paragraph 1(3)(a). (2) “Consolidation”, in relation to a qualifying document, means the incorporation of the whole or part of the provision made by the document into another document. (3) A scheme under this paragraph may make incidental, supplementary or consequential provision (including provision amending the qualifying contract). I544 Sch. 12 para. 7 not in force at Royal Assent, see s. 334(1)

Schedule 12 – Governance of gas and electricity industry transitional provision 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) I545 Sch. 12 para. 7 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) 8 (1) The GEMA may make one or more schemes for the transfer of designated property, rights or liabilities from one person (“the transferor”) to another person (“the transferee”) where the condition in sub-paragraph (2) is met. (2) The condition is that the designated property, rights or liabilities— (a) relate to the operation of the provisions of a qualifying document, and (b) are reasonably required by the transferee for the purposes of its obligations under a code manager licence (whether or not the licence has yet been (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 GEMA that anything specified in the certificate has vested in any person by virtue of a scheme is conclusive evidence for all purposes of that fact. (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) Sub-paragraph (6)(b) does not apply to references in— (b) an instrument made under primary legislation. Schedule 12 – Governance of gas and electricity industry transitional provision 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) include incidental, supplementary or consequential provision; (b) make transitory or transitional provision or savings; (c) make different provision for different purposes; (d) make provision subject to exceptions. “designated”, in relation to a scheme, means specified in or determined in accordance with the scheme; (b) an Act of the Scottish Parliament, (c) an Act or Measure of Senedd Cymru, or (d) Northern Ireland legislation; “property” includes interests of any description; “the transfer date” means a date specified by a scheme as the date on which the transfer is to have effect. I546 Sch. 12 para. 8 not in force at Royal Assent, see s. 334(1) I547 Sch. 12 para. 8 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) 9 (1) Before making a scheme under paragraph 8, the GEMA must consult— (c) such other persons as the GEMA considers appropriate. (2) The approval of the Secretary of State is required for the making of a scheme under I548 Sch. 12 para. 9 not in force at Royal Assent, see s. 334(1) I549 Sch. 12 para. 9 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) 10 (1) The GEMA may modify a scheme under paragraph 8. (2) The power under sub-paragraph (1) is not exercisable in relation to a scheme after the end of the period of 12 months beginning with the day on which the scheme (3) Paragraphs 8 and 9 apply in relation to the modification of a scheme as they apply in relation to the making of the scheme. I550 Sch. 12 para. 10 not in force at Royal Assent, see s. 334(1) I551 Sch. 12 para. 10 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix)

Schedule 12 – Governance of gas and electricity industry transitional provision 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) I546 Sch. 12 para. 8 not in force at Royal Assent, see s. 334(1) I547 Sch. 12 para. 8 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) I548 Sch. 12 para. 9 not in force at Royal Assent, see s. 334(1) I549 Sch. 12 para. 9 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) I550 Sch. 12 para. 10 not in force at Royal Assent, see s. 334(1) I551 Sch. 12 para. 10 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) 11 (1) The GEMA may direct a person who holds information reasonably required by the (a) in preparation for the granting of a code manager licence, or (b) for the purposes of or in connection with the exercise of any of the other functions of the GEMA under this Schedule, to provide the information to the GEMA. (2) A person to whom a direction is given under sub-paragraph (1) must, so far as reasonably practicable, provide the GEMA with the information— (a) within the period specified in the direction, and (b) in the form and manner so specified. (3) A direction given to a person under sub-paragraph (1) is enforceable by the GEMA (b) for specific performance of a statutory duty under section 45 of the Court (c) for any other appropriate remedy or relief. I552 Sch. 12 para. 11 not in force at Royal Assent, see s. 334(1) I553 Sch. 12 para. 11 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) 12 (1) The relevant code manager must make a payment to a person within sub- paragraph (2) in compensation for financial loss suffered by the person in consequence of the exercise by the GEMA of— (a) the power under paragraph 6 in relation to a qualifying contract within (b) the power under paragraph 8 (transfer schemes). (2) The persons within this sub-paragraph are— (a) a person who is a party to a contract that is amended or terminated under (b) the transferor in relation to a scheme under paragraph 8;

Schedule 12 – Governance of gas and electricity industry transitional provision 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) a person, other than the transferor or transferee in relation to a scheme under paragraph 8, who has a right in relation to anything transferred by the (3) The amount of a payment under sub-paragraph (1) is to be— (a) in a case relating to the exercise of the power under paragraph 6, such amount as the GEMA considers to be just; (b) in a case relating to the exercise of the power under paragraph 8, an amount specified in or determined in accordance with provision made in the scheme (4) In this paragraph, “the relevant code manager” means— (a) in relation to the exercise of the power under paragraph 6, the person who holds a code manager licence in relation to the document to which the qualifying contract in question relates; (b) in relation to the exercise of the power under paragraph 8, the person who is the transferee in relation to the scheme in question. (5) The GEMA may in a particular case direct— (a) which person is the relevant code manager for the purposes of this paragraph; (b) that two or more persons are jointly to be the relevant code manager for those (6) The Secretary of State may in a particular case direct that the duty under sub- paragraph (1) is to be discharged by a person specified in the direction (instead of by the relevant code manager). I554 Sch. 12 para. 12 not in force at Royal Assent, see s. 334(1) I555 Sch. 12 para. 12 in force at 10.9.2024 by S.I. 2024/890, reg.
2(b)(ix) 13 Any requirement imposed by this Schedule to carry out consultation may be satisfied by consultation before the passing of this Act (as well as by consultation after that I556 Sch. 12 para. 13 not in force at Royal Assent, see s. 334(1) I557 Sch. 12 para. 13 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix)

Schedule 13 – Governance of gas and electricity industry pensions 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) “active member” has the same meaning as in section 124(1) of the “associate” has the same meaning as in section 1152 of the Companies “member” has the same meaning as in section 124(1) of the Pensions Act “prescribed” means prescribed by regulations made by the GEMA; “qualifying accrued rights” means— (a) any right which, at the relevant time, has accrued to or in respect of a qualifying member of a qualifying pension scheme to future benefits (b) any entitlement under a qualifying pension scheme to the present payment of a pension or other benefit that a qualifying member of the scheme has at the relevant time, or (c) any entitlement to benefits, or rights to future benefits, under a qualifying pension scheme that a person who has survived a qualifying member of the scheme has at the relevant time in respect of the “qualifying member”, in relation to a qualifying pension scheme, means a person who is or has been a member of the scheme; “qualifying pension scheme” means a scheme that provides for the payment of pensions or other benefits to or in respect of employees or former (a) a transferor in relation to a scheme under paragraph 8 of Schedule 12, or (b) an associate of such a transferor; “the relevant time” means the time immediately before the prescribed date (which may be before the passing of this Act). (2) For the purposes of the definition of “qualifying accrued rights” in sub- (a) references to pensions or other benefits (including future benefits) include (b) references to a right include a pension credit right. (3) In the event that a section of a qualifying pension scheme is constituted as a separate pension scheme the members of which consist of or include persons who are qualifying members of the qualifying pension scheme, any reference in this Schedule to the qualifying pension scheme includes a reference to that separate I558 Sch. 13 para. 1 not in force at Royal Assent, see s. 334(1)

Schedule 13 – Governance of gas and electricity industry pensions 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) I559 Sch. 13 para. 1 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) Participation in qualifying pension schemes and transfer of assets and rights 2 (1) The GEMA may by regulations make such pensions provision as it considers appropriate in preparation for the granting of a code manager licence to a person in respect of a designated document. (2) “Pensions provision” means provision in connection with a qualifying pension scheme, including provision for— (a) enabling a person to participate in the scheme; (b) the division of the scheme into different sections; (c) the participation in the different sections of different persons; (d) the allocation of assets, rights, liabilities or obligations between the different (e) the transfer of assets and qualifying accrued rights from the scheme to another pension scheme (whether or not a qualifying pension scheme), without the need for any approval or consent to the transfer; (f) the valuation of assets and qualifying accrued rights in accordance with provision made by the regulations, for the purposes of their allocation to a particular section or for the purposes of their transfer as mentioned in (g) the discharge of liabilities in respect of qualifying accrued rights that are (3) Regulations under sub-paragraph (1) may have retrospective effect. (4) Before making regulations under sub-paragraph (1), the GEMA must consult— (a) the trustee of the qualifying pension scheme or schemes in question, and (b) the person who is the principal employer in relation to that scheme or those (5) The approval of the Secretary of State is required for the making of regulations I560 Sch. 13 para. 2 not in force at Royal Assent, see s. 334(1) I561 Sch. 13 para. 2 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) Amendment of qualifying pension schemes 3 (1) The GEMA may by regulations make such amendments of a qualifying pension scheme as it considers appropriate— (a) in preparation for the granting of a code manager licence to a person in respect of a designated document, or (b) in connection with the making of regulations under paragraph 2. (2) The provision that may be made under sub-paragraph (1) includes— (a) provision authorising or requiring the amount of pensions or other benefits payable to or in respect of qualifying members of the scheme to be

Schedule 13 – Governance of gas and electricity industry pensions 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) determined in particular circumstances by reference to pensionable service under the scheme in question before and after the relevant time; (b) provision for the transfer out of assets, rights, liabilities or obligations from one or more new sections of a qualifying pension scheme to another pension scheme (whether or not a qualifying pension scheme); (c) provision for the transfer in of assets, rights, liabilities or obligations to one or more new sections of one qualifying pension scheme from one or more new sections of another qualifying pension scheme. (3) Regulations under sub-paragraph (1) may have retrospective effect.
(4) Before making regulations under sub-paragraph (1), the GEMA must consult— (a) the trustee of the qualifying pension scheme being amended, and (b) the person who is the principal employer in relation to that scheme. (5) The approval of the Secretary of State is required for the making of regulations (a) the reference to making amendments of a qualifying pension scheme includes a reference to amending the trust deed or rules of that scheme or any other instrument relating to the constitution, management or operation (b) references to a “new” section of a qualifying pension scheme are to one of the sections into which the scheme is divided by regulations under paragraph (c) “pensionable service” has the same meaning as in section 124(1) of the I562 Sch. 13 para. 3 not in force at Royal Assent, see s. 334(1) I563 Sch. 13 para. 3 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) Protection against adverse treatment 4 (1) When exercising the power to make regulations under paragraph 2 or 3, the GEMA must ensure that the following requirements are met in respect of each person who is or has been a qualifying member of a qualifying pension scheme— (a) the general scheme requirement; (b) where the regulations relate to a person’s rights or entitlements to money purchase benefits other than pensions in payment, the money purchase (2) The general scheme requirement is that the provision for the payment of pensions or other benefits that is contained in a qualifying pension scheme or any other pension scheme to which a transfer is made by virtue of paragraph 2(2)(e) is, in all material respects, at least as good immediately after the exercise of the power as it is immediately before its exercise. (3) The money purchase requirement is that the value of the rights or entitlements to money purchase benefits, other than pensions in payment, that a person has under a

Schedule 13 – Governance of gas and electricity industry pensions 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) qualifying pension scheme or any other pension scheme to which a transfer is made by virtue of paragraph 2(2)(e) immediately after, and as a result of, the exercise of the power is at least equivalent to the value of the person’s rights or entitlements (4) Nothing in sub-paragraph (1) requires— (a) the different sections (if any) of a qualifying pension scheme to be established in a particular way, (b) particular provisions of the sections, or of a pension scheme to which a transfer is made by virtue of paragraph 2(2)(e), to take the same or similar (c) any power or duty conferred or imposed by a qualifying pension scheme to be exercised or performed in a particular way. (5) The power of the GEMA to amend a qualifying pension scheme may not be exercised in any way that would or might adversely affect any provision of the scheme made in respect of qualifying accrued rights unless— (a) the applicable consent requirements are satisfied in respect of the exercise (b) the scheme is amended in the prescribed manner. (6) The applicable consent requirements are the requirements that apply in relation to obtaining the consent of members of the scheme to its amendment (including any such requirements set out in the trust deed or rules of the scheme). I564 Sch. 13 para. 4 not in force at Royal Assent, see s. 334(1) I565 Sch. 13 para. 4 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) 5 (1) The GEMA may direct a person who holds relevant pensions information to provide (2) “Pensions information” means specified information that— (a) relates to pensions or other benefits under a qualifying pension scheme, or (b) relates to the administration of a qualifying pension scheme in respect of pensions or other benefits under the scheme. (3) A person to whom a direction is given under sub-paragraph (1) must, so far as reasonably practicable, provide the specified pensions information— (a) within the specified period, and (b) in the specified form and manner. (4) A direction under sub-paragraph (1) is enforceable by the GEMA in civil (b) for specific performance of a statutory duty under section 45 of the Court (c) for any other appropriate remedy or relief. Schedule 14 – Minor and consequential amendments relating to Part 6 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) In this paragraph, “specified” means specified in the direction. I566 Sch. 13 para. 5 not in force at Royal Assent, see s. 334(1) I567 Sch. 13 para. 5 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) 1 The Gas Act 1986 is amended as follows. I568 Sch. 14 para. 1 not in force at Royal Assent, see s. 334(1) I569 Sch. 14 para. 1 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) 2 In section 6A(1) (power to grant exemptions from prohibition), for “or (d)” substitute I570 Sch. 14 para. 2 not in force at Royal Assent, see s. 334(1) I571 Sch. 14 para. 2 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) 3 (1) Section 28 (orders for securing compliance with certain provisions) is amended as (2) In subsection (8), in the definition of “regulated person”, after paragraph (f) insert— “(g) a responsible body for a central system;”. (3) After subsection (8) insert— “(8A) In paragraph (g) of the definition of “regulated person” in subsection (8), the reference to a responsible body for a central system is a reference to a person for the time being specified in a notice under section 184(1) of the Energy Act 2023 in relation to a designated central system (within the meaning of Part I572 Sch. 14 para.
3 not in force at Royal Assent, see s. 334(1) I573 Sch. 14 para. 3 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) 4 In Schedule 4B (provisions imposing obligations enforceable as relevant requirements), after paragraph 9A insert—

Schedule 14 – Minor and consequential amendments relating to Part 6 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) “Responsible bodies for central systems 9B (1) Section 194(3) of the Energy Act 2023 is a relevant provision in relation to a responsible body for a central system. (2) The reference in sub-paragraph (1) to a responsible body for a central system is a reference to a person for the time being specified in a notice under section 184(1) of the Energy Act 2023 in relation to a designated central system (within the meaning of Part 6 of that Act).” I574 Sch. 14 para. 4 not in force at Royal Assent, see s. 334(1) I575 Sch. 14 para. 4 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) I568 Sch. 14 para. 1 not in force at Royal Assent, see s. 334(1) I569 Sch. 14 para. 1 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) I570 Sch. 14 para. 2 not in force at Royal Assent, see s. 334(1) I571 Sch. 14 para. 2 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) I572 Sch. 14 para. 3 not in force at Royal Assent, see s. 334(1) I573 Sch. 14 para. 3 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) I574 Sch. 14 para. 4 not in force at Royal Assent, see s. 334(1) I575 Sch. 14 para. 4 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) 5 The Electricity Act 1989 is amended as follows. I576 Sch. 14 para. 5 not in force at Royal Assent, see s. 334(1) I577 Sch. 14 para. 5 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) 6 In section 5(1) (power to grant exemptions from prohibition), for “or (e)” substitute I578 Sch. 14 para. 6 not in force at Royal Assent, see s. 334(1) I579 Sch. 14 para. 6 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) 7 (1) Section 25 (orders for securing compliance) is amended as follows. (2) In subsection (8), in the definition of “regulated person”, after paragraph (d) insert— “(da) a responsible body for a central system;”; (3) After subsection (8) insert—

Schedule 14 – Minor and consequential amendments relating to Part 6 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) “(8A) In paragraph (da) of the definition of “regulated person” in subsection (8), the reference to a responsible body for a central system is a reference to a person for the time being specified in a notice under section 184(1) of the Energy Act 2023 in relation to a designated central system (within the meaning of Part 6 of that Act).” I580 Sch. 14 para. 7 not in force at Royal Assent, see s. 334(1) I581 Sch. 14 para. 7 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) 8 In Schedule 6A (provisions imposing obligations enforceable as relevant requirements), after paragraph 9 insert— “Responsible bodies for central systems 9ZA (1) Section 194(3) of the Energy Act 2023 is a relevant provision in relation to a responsible body for a central system. (2) The reference in sub-paragraph (1) to a responsible body for a central system is a reference to a person for the time being specified in a notice under section 184(1) of the Energy Act 2023 in relation to a designated central system (within the meaning of Part 6 of that Act).” I582 Sch. 14 para. 8 not in force at Royal Assent, see s. 334(1) I583 Sch. 14 para. 8 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) I576 Sch. 14 para. 5 not in force at Royal Assent, see s. 334(1) I577 Sch. 14 para. 5 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) I578 Sch. 14 para. 6 not in force at Royal Assent, see s. 334(1) I579 Sch. 14 para. 6 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) I580 Sch. 14 para. 7 not in force at Royal Assent, see s. 334(1) I581 Sch. 14 para. 7 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) I582 Sch. 14 para. 8 not in force at Royal Assent, see s. 334(1) I583 Sch. 14 para. 8 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) 9 The Energy Act 2004 is amended as follows. I584 Sch. 14 para. 9 not in force at Royal Assent, see s. 334(1) I585 Sch. 14 para. 9 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x)

Schedule 14 – Minor and consequential amendments relating to Part 6 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 In section 173 (appeals to the Competition and Markets Authority), after “(2C) This section also applies to a decision by GEMA to modify a designated document (within the meaning of Part 6 of the Energy Act 2023) under section 192 of that Act.” I586 Sch. 14 para. 10 not in force at Royal Assent, see s. 334(1) I587 Sch. 14 para. 10 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) 11 (1) Schedule 22 (procedure for appeals under section 173) is amended as follows.
(2) In paragraph 4 (time limit for representations and observations)— (a) in sub-paragraph (1), for the words from “fifteen working days” to the end substitute “the relevant period”; (b) after sub-paragraph (1) insert— “(1A) “The relevant period” means— (a) 15 working days following the day of the making of the application for permission to bring the appeal, or (b) such longer period following that day as an authorised member of the CMA may allow.”; (c) in sub-paragraph (2), for “that period of fifteen working days” substitute “the (3) In paragraph 6 (timetable for determination of appeal)— (a) in sub-paragraph (1), for “thirty working days” substitute “4 months”; (i) for “thirty working days” substitute “4 months”; (ii) for “ten more working days” substitute “1 month”. I588 Sch. 14 para. 11 not in force at Royal Assent, see s. 334(1) I589 Sch. 14 para. 11 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) I584 Sch. 14 para. 9 not in force at Royal Assent, see s. 334(1) I585 Sch. 14 para. 9 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) I586 Sch. 14 para. 10 not in force at Royal Assent, see s. 334(1) I587 Sch. 14 para. 10 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) I588 Sch. 14 para. 11 not in force at Royal Assent, see s. 334(1) I589 Sch. 14 para. 11 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x)

Schedule 15 – Competitive tenders for electricity projects 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) after “7”, insert “or 7AC”; (ii) after “transporters” insert “or code manager licence”; (b) in subsection (1)(c), after “7” insert “or 7AC”. I590 Sch. 14 para. 12 not in force at Royal Assent, see s. 334(1) I591 Sch. 14 para. 12 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) 1 The Electricity Act 1989 is amended as follows. I592 Sch. 15 para. 1 in force at Royal Assent, see s. 334(2)(i) “6BA Meaning of “relevant electricity project”, “relevant licence” and (1) In this Part, “relevant electricity project” means a project— (a) that relates to the total system, an electricity interconnector or a multi-purpose interconnector, and (b) in relation to which criteria specified in regulations made by the Secretary of State are satisfied. (2) In subsection (1)(a), “the total system” means all transmission systems and distribution systems in Great Britain and offshore waters. (3) In this Part, “relevant licence” means— (a) a transmission licence that does not authorise the licence holder to co-ordinate and direct the flow of electricity as described in (b) a generation licence, a distribution licence, an interconnector licence (4) In this Part, “relevant contract” means a contract, entered into by a person with the holder of a transmission licence, a system operator electricity licence or a distribution licence (referred to in this Part as a “contract counterparty”), for the carrying out of a relevant electricity project. Schedule 15 – Competitive tenders for electricity projects 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 under this section may make different provision for different (6) Before making regulations under this section, the Secretary of State must (b) such holders of relevant licences as the Secretary of State considers (c) such other persons as the Secretary of State considers appropriate. 6BB Designation of a delivery body (1) The Secretary of State may by regulations designate a person for the purposes of this section; and a person so designated is referred to in this Part (2) The designation of a person for the purposes of this section has effect subject to any conditions imposed by the Secretary of State in the regulations (3) More than one person may be designated for the purposes of this section at (4) Regulations under this section may designate different persons for different (5) The Secretary of State may by regulations revoke a person’s designation if the person ceases to meet any condition subject to which the designation has (6) The Secretary of State may make indemnity payments to a delivery body (7) An indemnity payment is a payment in respect of costs or expenses incurred by a delivery body in connection with judicial review proceedings in relation to anything done, or omitted to be done, in the exercise (or purported exercise) of functions conferred on the body by regulations under section 6C. (8) An indemnity payment may be made subject to such conditions as may be determined by the Secretary of State. (9) Subsection (6) does not authorise the making of a payment to the Authority (where it is designated under subsection (1)).” I593 Sch. 15 para. 2 in force at Royal Assent, see s. 334(2)(i) 3 For sections 6C and 6D substitute—

Schedule 15 – Competitive tenders for electricity projects 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) The Authority may by regulations (“tender regulations”) make such provision as appears to it to be appropriate for facilitating the making by a (a) a decision whether to hold a tender exercise in relation to a relevant (b) in prescribed circumstances, a determination on a competitive basis of any of the matters listed in subsection (2). (a) the person by whom a relevant electricity project is to be carried out; (b) the person to whom a relevant licence is to be granted (whether for the purposes of a relevant electricity project or otherwise); (c) the person to whom a relevant contract is to be awarded.
(3) The provision mentioned in subsection (1) includes— (a) provision for the Authority to determine, in prescribed cases, whether a tender exercise should be held, or continued, in relation to a relevant electricity project; (b) provision for the publication, in prescribed cases, of a proposal for a relevant licence to be granted or for a relevant contract to be (c) provision for the inclusion in such a proposal of an invitation to apply for such a licence or to bid for such a contract; (d) provision restricting applications and bids and imposing requirements as to the period within which they must be made; (e) provision for regulating the manner in which applications and bids are considered and determined. (4) The provision mentioned in subsection (1) also includes— (a) provision conferring functions on a delivery body; (b) provision authorising the Authority to conduct a review of the exercise by a delivery body of functions conferred on it by the (c) provision authorising the Authority to appoint another person to conduct such a review on the Authority’s behalf. (5) The provision that may be made by virtue of subsection (4)(a) includes provision requiring a delivery body, in prescribed circumstances, to provide information about prescribed matters to the Authority. (a) may make provision by reference to a determination by the Authority or by a delivery body, or to the opinion of the Authority or of a delivery body, as to any matter; (b) may dispense with or supplement provision made in relation to applications for relevant licences by or under section 6A or 6B. (7) The approval of the Secretary of State is required for the making of tender

Schedule 15 – Competitive tenders for electricity projects 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) (8) The making of a determination by virtue of subsection (2)(b) or (c) that a person is to be granted a relevant licence or awarded a relevant contract does (a) the Authority to exercise its power to grant a relevant licence to the (b) a contract counterparty to award a relevant contract to the person, 6CA Power to require information (1) Tender regulations may include provision authorising a person to whom subsection (2) applies (“P”), by notice given to another person (an “information notice”), to require the other person to provide relevant (2) This subsection applies to— (3) “Relevant information” means information that P reasonably requires for the purposes of or in connection with the exercise of P’s functions. (4) References in this section to the Authority include a person appointed by the Authority by virtue of section 6C(4)(c), where the information sought relates to a function conferred by virtue of section 6C(4)(b) (review of activities of (5) Provision made by virtue of subsection (1) must require an information (a) to specify or describe the information sought, and (b) to specify the time by which the information must be provided. (6) Provision made by virtue of subsection (1) may include provision— (a) for an information notice and information obtained in pursuance of it to be shared with the Authority, where the notice is given by a person other than the Authority; (b) for the classification and protection of confidential or sensitive (c) for the enforcement by the Authority of a requirement to provide information in pursuance of an information notice; (d) for the amount of any financial penalty imposed on a person by virtue of paragraph (c) to be determined by the Authority in accordance with tender regulations. (7) Where by virtue of subsection (6) (c) tender regulations provide for the imposition of a financial penalty, they must also include provision for a right of appeal against the imposition of the penalty. (1) Tender regulations may include provision requiring—

Schedule 15 – Competitive tenders for electricity projects 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 payment to the Authority or a delivery body, in prescribed circumstances, of amounts in respect of— (i) tender costs of the Authority, or of the delivery body, in relation to a tender exercise; (ii) such amounts in respect of the Authority’s tender costs as the Authority considers appropriate, where those costs are not attributable to a particular tender exercise; (iii) such amounts in respect of the delivery body’s tender costs as the Authority considers appropriate, where those costs are not attributable to a particular tender exercise. (b) the provision to the Authority or to a delivery body, in prescribed circumstances, of a deposit of a prescribed amount in respect of a liability which a person has, or may in future have, by virtue of paragraph (a) in relation to a relevant licence or relevant contract; (c) the provision to the Authority or to a delivery body, in prescribed circumstances, of security in a form approved by it in respect of such (2) The provision that may be made by virtue of subsection (1)(a) includes provision requiring the payment of cost assessment costs incurred by— after the Authority or delivery body (as the case may be) has taken the steps required by virtue of subsections (7) to (9) in relation to the tender exercise.
(3) The regulations may require the payments to be made, or the deposit or security to be provided, by one or more of the following— (a) any person who has made a connection request for the purposes of which the tender exercise has been, is being, or is to be, held; (b) any person who made a connection request for the purposes of which any previous tender exercise relating to the same transmission system, or a transmission system consisting of some or all of the same lines or plant or connecting any of the same generating stations (c) any person who made a connection request for the purposes of which any previous tender exercise relating to the same distribution system, or a distribution system consisting of some or all of the same lines or plant or connecting any of same premises or other distribution systems, was held; (d) any person who operates a generating station which is connected to the transmission or distribution system to which the tender exercise (e) any person who submits an application for the relevant licence or bids for the award of a relevant contract to which the tender exercise (f) any person who is the holder of a transmission licence, a distribution licence, an interconnector licence or an MPI licence. (4) The regulations may make provision about how— (a) payments are to be made, and (b) deposits or other forms of security are to be provided,

Schedule 15 – Competitive tenders for electricity projects 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) including provision for them to be made or provided by a person approved by the Authority or by a delivery body. (5) The regulations may include provision about— (a) the times at which payments are to be made, or deposits or other forms of security are to be provided, under the regulations; (b) the circumstances in which a payment made in accordance with regulations made by virtue of subsection (1)(a) is to be repaid (c) the circumstances in which such a repayment is to include an amount representing interest accrued on the whole or part of the payment; (d) the circumstances in which a deposit (including any interest accrued on it) or other security provided in accordance with the regulations is to be released or forfeited (wholly or in part); (e) the effect on a person’s participation in the tender exercise of a failure to comply with a requirement imposed by virtue of this section, and the circumstances in which the tender exercise is to stop as a result of such a failure. (6) The regulations may include provision for— (a) the review by the Authority, or by a person appointed by the Authority, of any tender costs determined by a delivery body; (b) the amendment by a delivery body of its tender costs following such (7) The regulations must ensure that, as soon as reasonably practicable after a tender exercise or series of tender exercises is finished— (a) where the Authority is the delivery body, steps are taken by the Authority, in accordance with the regulations, to ensure that the aggregate of the amounts in subsection (9) does not exceed the Authority’s tender costs in respect of the exercise or series of (b) in any other case, steps are taken by the delivery body, in accordance with the regulations, to ensure that the aggregate of the amounts in subsection (9) does not exceed the aggregate of— (i) the Authority’s tender costs, and (ii) the delivery body’s tender costs, in respect of the exercise or series of exercises. (8) The regulations must also ensure that, in a case within subsection (7)(b), the aggregate of the amounts within subsection (9) so far as relating to any particular tender exercise does not include any amount that falls within paragraph (a) of the definition of tender costs in section 6CD(4) in relation to a different tender exercise. (a) any fees under section 6A(2) in respect of applications for relevant (b) any payments made or deposits provided in accordance with regulations made by virtue of subsection (1)(a) or (b) and not repaid,

Schedule 15 – Competitive tenders for electricity projects 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 value of any security provided in accordance with regulations made by virtue of subsection (1)(c) and forfeited in accordance with regulations made by virtue of subsection (5)(d), so far as relating to the tender exercise or series of tender exercises in 6CC Competitive supplementary (1) For the purposes of section 6CB(3), a person makes a connection request when the person makes an application to— (a) the holder of a co-ordination licence (in accordance with any provision made by the licence) for an offer of connection to and use (b) an electricity distributor (whether in accordance with any provision made by the distributor’s licence or otherwise) for an offer of connection to and use of the distributor’s distribution system.
(2) A person (“P”) is to be treated for those purposes as having made a (a) P would have made the connection request, but for the fact that another person had already made an application within (b) the benefit of that application, or any agreement resulting from it, (a) restrict the making of applications for relevant licences or bids for relevant contracts in relation to a relevant electricity project, or (b) operate so as to prevent an application or bid from being considered or further considered, if the applicant does not meet one or more the regulations may make provision enabling a person to apply to a relevant body for a decision as to the effect of any such restriction or requirement if the person were to make such an application or bid. (4) Regulations made by virtue of subsection (3) may enable a relevant body to charge a person who makes such an application or bid a prescribed fee for any decision given in response to it. (5) Where the successful bidder, in relation to a tender exercise, already holds a relevant licence (“the existing licence”)— (a) the Authority may make such modifications of the existing licence as are necessary for the purpose of giving effect to the determination resulting from the tender exercise, and (b) references in this Part to the grant of a relevant licence are to be read (6) Before making any modifications under subsection (5)(a), the Authority (a) stating that it proposes to make the modifications and setting out

Schedule 15 – Competitive tenders for electricity projects 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 time (not being less than 28 days from the date of publication of the notice) within which representations or objections with respect to the proposed modifications may be made, and must consider any representations or objections that are duly made and (7) Any sums received by the Authority under tender regulations are to be paid (8) In section 6CB and this section— “co-ordination licence” means a transmission licence which authorises a person to co-ordinate and direct the flow of electricity onto and over a transmission system— (a) by means of which the transmission of electricity takes place, (b) the whole or a part of which is at a relevant place (within the “functions” includes powers and duties; “relevant body” means the Authority, a delivery body or a 6CD Sections 6C to 6CC: further definitions (1) This section defines expressions that are used in sections 6C to 6CC (as well (2) “Prescribed” means prescribed in or determined under tender regulations. (3) “Tender exercise” means the steps taken in accordance with tender regulations with a view to determining one or more of the following— (a) the person by whom a relevant electricity project is to be carried out; (b) the person to whom a relevant licence is to be granted; (c) the person to whom a relevant contract is to be awarded. (a) costs (including any cost assessment costs) incurred or likely to be incurred by the Authority for the purposes of a particular tender exercise or prospective tender exercise; (b) costs (including any cost assessment costs) incurred or likely to be incurred by a delivery body for the purposes of a particular tender exercise or prospective tender exercise; (c) such proportion as the Authority considers appropriate of the costs (i) have been, or are likely to be, incurred by the Authority or by a delivery body under regulations under section 6C, and (ii) are not directly attributable to a particular tender exercise. (5) “Cost assessment costs”, in relation to a tender exercise, means costs incurred or likely to be incurred by the Authority or by a delivery body in connection with any assessment of— (a) costs that have been or are to be incurred in connection with any property, rights or liabilities necessary or expedient for the

Schedule 15 – Competitive tenders for electricity projects 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) performance by a person of functions under a relevant licence granted or a relevant contract awarded to the person as a result of (b) costs incurred in connection with any property, rights or liabilities that would have been necessary or expedient for the performance of functions under a relevant licence or a relevant contract if such a licence or contract had been granted or awarded to a person as a result of the tender exercise. (6) “Successful bidder”, in relation to a tender exercise, is the person in respect of whom (as a result of the exercise) any of the following applies— (a) a delivery body determines that a relevant electricity project is to be (b) a relevant licence has been or is to be granted to the person; (c) a relevant contract has been or is to be awarded to the person. (7) Section 6C(8) applies for the purposes of subsections (3)(b) and (c) and (6)(b) and (c) as it applies for the purposes of section 6C(2)(b) and (c).” I594 Sch. 15 para. 3 in force at Royal Assent, see s. 334(2)(i) 4 In section 6E (property schemes)— (a) for “offshore transmission licences” substitute “relevant licences and awards of relevant contracts”; (b) in the heading, for “offshore transmission licences” substitute “relevant I595 Sch. 15 para. 4 in force at Royal Assent, see s. 334(2)(i) 5 (1) Section 6F (offshore transmission during commissioning period) is amended as (2) In subsection (2), for “an offshore” substitute “a”. (a) at the beginning insert “In relation to an offshore transmission system,”; (b) in paragraph (a), for “the tender regulations” substitute “offshore transmission tender regulations”.
(4) After subsection (4) insert— “(4A) In relation to a transmission system other than an offshore transmission system, the third condition is that— (i) a tender exercise for the granting of a relevant licence in respect of the system has been or is being held, or

Schedule 15 – Competitive tenders for electricity projects 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) (ii) a delivery body has determined to hold a tender exercise for the granting of a relevant licence in respect of the system, (b) the system, or anything forming part of it, has not been transferred (a) in the definition of “developer”, for the words from “section 6D(2)(a)” to the end substitute “section 6CB(3)(a) or (b) (person who makes the connection request, including any person who is to be so treated by virtue (b) for the definitions of “offshore transmission” and “offshore transmission ““offshore transmission” means the transmission within an area of offshore waters of electricity generated by a generating station in such “offshore transmission licence” means a transmission licence authorising anything that forms part of a transmission system to be used for purposes connected with offshore transmission; “offshore transmission tender regulations” means tender regulations that provide for the determination on a competitive basis of the person to whom an offshore transmission licence is to be granted;”; (c) for the definitions of “successful bidder” and “tender exercise” substitute— ““tender exercise” has the meaning given by section 6CD(3);”; (d) in the definition of “relevant generating station”, for “an offshore” substitute (e) for the definition of “the tender regulations” substitute— ““tender regulations” has the meaning given by section 6C(1).” (6) In the heading omit “Offshore”. I596 Sch. 15 para. 5 in force at Royal Assent, see s. 334(2)(i) 6 (1) Section 6G (meaning of “commissioning period”) is amended as follows. (2) In subsection (1), for “an offshore” substitute “a”. (3) Omit subsections (3) to (5). (4) For subsection (6) substitute— “co-ordination licence” means a transmission licence which authorises a person to co-ordinate and direct the flow of electricity onto and over a transmission system by means of which the transmission of electricity takes place and the whole or part of which is at a place in Great Britain, in the territorial sea adjacent to Great Britain or in a Renewable Energy Zone; “relevant co-ordination licence holder” means the holder of a co- ordination licence to whom a person has applied (in accordance with

Schedule 15 – Competitive tenders for electricity projects 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) any provision made by that licence) for an offer of connection to and use of a transmission system for the purposes of which the tender I597 Sch. 15 para. 6 in force at Royal Assent, see s. 334(2)(i) 7 (1) Section 6H (modification of codes or agreements) is amended as follows. (2) In subsection (1), for “a transmission licence or a distribution licence” substitute “a (3) For subsection (2) substitute— “(2) The Authority may make a modification under subsection (1) only if it considers it necessary or desirable for the purpose of— (a) implementing, or facilitating the implementation of, a determination made in accordance with regulations under section 6C, or (b) implementing or facilitating the operation of section 6F or 6G.” (4) For subsection (4) substitute— “(4) Before making a modification under subsection (1) the Authority must— (a) consult such persons as the Authority considers appropriate, and (i) stating that it proposes to make the modification and its reasons for proposing to make it, (ii) setting out the proposed modification and its effect, and (iii) specifying the time within which representations may be made (which must not be less than the period of 28 days beginning with the day on which the notice is published).” (5) In subsection (5), for “the Energy Act 2013” substitute “the Energy Act 2023”. (6) In subsection (7), after “subsection” insert “(4) or”. (8) In the heading, after “Sections” insert “6C,”. I598 Sch. 15 para. 7 in force at Royal Assent, see s. 334(2)(i) 8 In section 11A (modification of conditions of licences), after subsection (9) insert— “(9A) This section does not apply to the modification of a licence in exercise of the power under section 6CC(5)(a) (modification of licence to give effect to determination on a tender exercise).”

Schedule 15 – Competitive tenders for electricity projects 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) I599 Sch. 15 para. 8 in force at Royal Assent, see s. 334(2)(i) 9 In section 64(1) (interpretation etc of Part 1), at the appropriate places insert— ““contract counterparty” has the meaning given by section 6BA;”; ““delivery body” has the meaning given by section 6BB;”; ““offshore transmission” and “offshore transmission licence” have the meaning given by section 6F(8);”; (a) waters in or adjacent to Great Britain which are between the mean low water mark and the seaward limits of the territorial sea, and (b) waters within an area designated under section 1(7) of the Continental ““relevant contract” and “relevant licence” have the meaning given by ““relevant electricity project” has the meaning given by section 6BA;”; ““relevant licence” has the meaning given by section 6BA;”. I600 Sch. 15 para. 9 in force at Royal Assent, see s. 334(2)(i) 10 Schedule 2A (property schemes) is amended in accordance with paragraphs 11 I601 Sch. 15 para. 10 in force at Royal Assent, see s. 334(2)(i) 11 For paragraph 1 substitute— 1 (1) This paragraph applies where a tender exercise is held in relation to a relevant electricity project, a relevant licence or a relevant contract.
(2) The Authority may, on an application under paragraph 3, make a scheme (“a property scheme”) providing for— (a) the transfer to the successful bidder of, or (b) the creation in favour of the successful bidder of rights in any property, rights or liabilities necessary or expedient for construction, commissioning or operational purposes.” I602 Sch. 15 para. 11 in force at Royal Assent, see s. 334(2)(i)

Schedule 15 – Competitive tenders for electricity projects 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 In paragraph 2, at the end insert— “(5) A property scheme may not contain provision for the transfer of, or creation of rights in relation to, property, rights or liabilities that the Authority considers it appropriate for the successful bidder to acquire by I603 Sch. 15 para. 12 in force at Royal Assent, see s. 334(2)(i) I604 Sch. 15 para. 13 in force at Royal Assent, see s. 334(2)(i) 14 In paragraph 12, for “operational purposes” substitute “construction, commissioning or operational purposes” in each of the following places— (a) sub-paragraphs (1) to (3); (c) sub-paragraph (11) (in both places). I605 Sch. 15 para. 14 in force at Royal Assent, see s. 334(2)(i) 15 For paragraph 13 substitute— “13 On an application for a property scheme, no scheme may be made until either a relevant licence has been granted or a relevant contract has been awarded to the successful bidder.” I606 Sch. 15 para. 15 in force at Royal Assent, see s. 334(2)(i) (a) in sub-paragraph (4), for “operational purposes” substitute “construction, commissioning or operational purposes”; (b) in sub-paragraph (6), after paragraph (a) insert— (ab) a contract counterparty,”. I607 Sch. 15 para. 16 in force at Royal Assent, see s. 334(2)(i) 17 In paragraph 15(2), for “operational purposes” substitute “construction, commissioning or operational purposes”. Schedule 15 – Competitive tenders for electricity projects 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) I608 Sch. 15 para. 17 in force at Royal Assent, see s. 334(2)(i) I609 Sch. 15 para. 18 in force at Royal Assent, see s. 334(2)(i) 19 In paragraph 25(2), for “operational purposes” substitute “construction, commissioning or operational purposes”. I610 Sch. 15 para. 19 in force at Royal Assent, see s. 334(2)(i) 20 In paragraph 30, for “operational purposes” substitute “construction, commissioning or operational purposes”. I611 Sch. 15 para. 20 in force at Royal Assent, see s. 334(2)(i) 21 (1) Paragraph 35 is amended as follows. (2) In sub-paragraph (2), for “the offshore transmission licence” substitute “a relevant (3) After sub-paragraph (2) insert— “(2A) Where a tender exercise is held, as soon as a contract counterparty is satisfied that it will enter into a relevant contract with a particular person if certain matters are resolved to the counterparty’s satisfaction, it must publish a notice to that effect.” (4) In sub-paragraph (3), for “The notice” substitute “A notice under sub-paragraph (2) (5) After sub-paragraph (4) insert— “(4A) A contract counterparty may withdraw a notice given by it under sub- paragraph (2A) by publishing a notice to that effect.” (6) In sub-paragraph (5), after “(2)” insert “or (2A)”. I612 Sch. 15 para. 21 in force at Royal Assent, see s. 334(2)(i) (b) for sub-paragraph (2) substitute—

Schedule 15 – Competitive tenders for electricity projects 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) Where as a result of a tender exercise the Authority determines to grant a relevant licence to a person, it must publish a notice (2A) Where as a result of a tender exercise a person is awarded a relevant contract, the contract counterparty with which the contract is to be entered into must publish a notice to that I613 Sch. 15 para. 22 in force at Royal Assent, see s. 334(2)(i) “Transmission owner and distribution network owner of last resort 36A (1) Before directing the holder of a transmission licence to act as a transmission owner of last resort pursuant to the conditions of the licence, the Authority may publish a notice— (a) stating that it proposes to give the direction, and (b) identifying the licence holder to whom it proposes to give the (2) Where a notice is published under sub-paragraph (1), this Schedule has (a) the licence holder is the preferred bidder in relation to a tender (b) the notice is one published under paragraph 35(2), identifying the licence holder as the preferred bidder. (3) Paragraph 35(4) applies in relation to a notice published under sub- paragraph (1) of this paragraph as it applies to a notice published under (4) Where the Authority directs the holder of a transmission licence to act as a transmission owner of last resort pursuant to the conditions of the licence, this Schedule has effect as if— (a) the licence holder is the holder of a transmission licence granted as a result of a tender exercise in which the licence holder was (b) a notice has been published under paragraph 36 identifying the licence holder as the successful bidder in relation to the tender 36B (1) Before directing the holder of a distribution licence to act as a distribution network owner of last resort pursuant to the conditions of the licence, the Authority may publish a notice— (a) stating that it proposes to give the direction, and (b) identifying the licence holder to whom it proposes to give the

Schedule 15 – Competitive tenders for electricity projects 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) Where a notice is published under sub-paragraph (1), this Schedule has (a) the licence holder is the preferred bidder in relation to a tender (b) the notice is one published under paragraph 35(2), identifying the licence holder as the preferred bidder. (3) Paragraph 35(4) applies in relation to a notice published under sub- paragraph (1) of this paragraph as it applies to a notice published under (4) Where the Authority directs the holder of a distribution licence to act as a distribution network owner of last resort pursuant to the conditions of the licence, this Schedule has effect as if— (a) the licence holder is the holder of a distribution licence granted as a result of a tender exercise in which the licence holder was (b) a notice has been published under paragraph 36 identifying the licence holder as the successful bidder in relation to the tender I614 Sch. 15 para. 23 in force at Royal Assent, see s. 334(2)(i) (a) at the appropriate place insert— ““construction, commissioning or operational purposes” means the purposes of performing any functions which the successful bidder has, or may in future have under or by virtue of— (a) a relevant licence which has been, or is to be, granted as a result of the tender exercise, (b) a relevant contract which has been, or is to be, awarded as a result of the tender exercise, or (c) any enactment, in the successful bidder’s capacity as holder of the relevant licence or party to the relevant contract;”; (b) omit the definitions of “co-ordination licence” and “relevant place”; (c) omit the definition of “operational purposes”; (d) for the definition of “successful bidder” substitute— ““successful bidder”, in relation to a tender exercise, has the meaning (e) for the definition of “tender exercise” substitute— ““tender exercise” has the meaning given by section 6CD(3);”. I615 Sch. 15 para. 24 in force at Royal Assent, see s. 334(2)(i) 25 (1) In Schedule 4 (powers of licence holders), paragraph 6 is amended as follows. Schedule 16 – Mergers of energy network enterprises 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) in paragraph (a), after “licence holder” insert “to obtain the right”; (b) omit “for the licence holder”. (3) After sub-paragraph (7) insert— “(7A) A necessary wayleave granted to a licence holder under this paragraph may be transferred to another licence holder.” I616 Sch. 15 para. 25 in force at Royal Assent, see s. 334(2)(i) 26 (1) Section 105 of the Utilities Act 2000 (general restrictions on disclosure of information) is amended as follows. (2) In subsection (3), after paragraph (ac) insert— “(ad) it is made for the purpose of facilitating any functions of the Authority, a delivery body or a contract counterparty (within the meaning of Part 1 of the 1989 Act) under regulations under I617 Sch. 15 para. 26 in force at Royal Assent, see s. 334(2)(i) 1 Part 3 of the Enterprise Act 2002 (mergers) is amended as follows. I618 Sch. 16 para. 1 in force at Royal Assent, see s. 334(2)(j)

Schedule 16 – Mergers of energy network enterprises 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) “Mergers of energy network enterprises in Great Britain 68A Relevant merger situations involving energy network mergers (1) For the purposes of this Part, a relevant merger situation involves an energy network merger if two or more of the enterprises that cease to be distinct are energy network enterprises of the same type. (2) For the purposes of this Part, the types of “energy network enterprise” are— (a) an enterprise holding a licence under section 7 of the Gas Act 1986 (b) an enterprise holding a licence under section 6(1)(b) of the Electricity Act 1989 (transmission of electricity), except as (c) an enterprise holding a licence under section 6(1)(c) of the Electricity Act 1989 (distribution of electricity), except as (3) An enterprise holding a licence under section 6(1)(b) or (c) of the Electricity Act 1989 is not an energy network enterprise if— (a) the licence was granted following a tender exercise, and (i) the enterprise does not hold any other licence of a type mentioned in subsection (2), or (ii) the enterprise holds one or more other licences under section 6(1)(b) or (c) of the Electricity Act 1989 and each of those other licences was granted following a tender (4) The Secretary of State may by regulations amend this section by— (a) adding to subsection (2) an enterprise holding a licence under the Gas Act 1986 or the Electricity Act 1989 of a type that is not (b) creating an exception in relation to a type of enterprise specified in (c) amending or removing an exception that applies in relation to a type of enterprise specified in subsection (2). (5) Before making regulations under subsection (4), the Secretary of State must (a) the Gas and Electricity Markets Authority, and (6) In this section, “tender exercise” has the same meaning as in section 6CD 68B Further duty to make references in relation to completed mergers (1) The CMA must make a reference to its chair for the constitution of a group under Schedule 4 to the Enterprise and Regulatory Reform Act 2013 if the CMA believes that it is or may be the case that—

Schedule 16 – Mergers of energy network enterprises 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) a relevant merger situation involving an energy network merger has (b) the creation of that situation has caused, or may be expected to cause, substantial prejudice to the ability of the Gas and Electricity Markets Authority, in carrying out its functions under Part 1 of the Gas Act 1986 or Part 1 of the Electricity Act 1989, to make comparisons between energy network enterprises of the type involved in the but this is subject to subsections (2) and (3). (2) The CMA may decide not to make a reference under this section if it believes that any relevant customer benefits in relation to the creation of the relevant merger situation outweigh the prejudice mentioned in subsection (1)(b). (3) The CMA must not make a reference under this section in any circumstances (4) A reference under this section must, in particular, specify— (a) the enactment under which it is made, and (b) the date on which it is made. 68C Further duty to make references in relation to anticipated mergers (1) The CMA must make a reference to its chair for the constitution of a group under Schedule 4 to the Enterprise and Regulatory Reform Act 2013 if the CMA believes that it is or may be the case that— (a) arrangements are in progress or in contemplation which, if carried into effect, will result in the creation of a relevant merger situation involving an energy network merger, and (b) the creation of that situation may be expected to cause substantial prejudice to the ability of the Gas and Electricity Markets Authority, in carrying out its functions under Part 1 of the Gas Act 1986 or Part 1 of the Electricity Act 1989, to make comparisons between energy network enterprises of the type involved in the energy network but this is subject to subsections (2) and (3). (2) The CMA may decide not to make a reference under this section if it believes (a) the arrangements concerned are not sufficiently far advanced, or are not sufficiently likely to proceed, to justify the making of a (b) any relevant customer benefits in relation to the creation of the relevant merger situation concerned outweigh the prejudice mentioned in subsection (1)(b). (3) The CMA must not make a reference under this section in any circumstances (4) A reference under this section must, in particular, specify— (a) the enactment under which it is made, and (b) the date on which it is made. Schedule 16 – Mergers of energy network enterprises 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) 68D Opinion of the Gas and Electricity Markets Authority (1) Before forming a view for the purposes of section 68B(1)(b) or (2) or 68C(1)(b) or (2)(b), the CMA must— (a) ask the Gas and Electricity Markets Authority to give an opinion, (2) Where the CMA makes a request under this section, the Gas and Electricity Markets Authority must give its opinion on— (a) whether and to what extent the creation of the relevant merger situation has prejudiced, or may be expected to prejudice, the Authority’s ability, in carrying out its functions under Part 1 of the Gas Act 1986 or Part 1 of the Electricity Act 1989, to make comparisons between energy network enterprises of the type involved in the relevant merger situation, and (b) whether any prejudice is outweighed by any relevant customer benefits in relation to the creation of the relevant merger situation. (3) The Gas and Electricity Markets Authority must prepare and publish a statement of the methods it considers should be applied in forming an opinion on the matters mentioned in subsection (2). (4) The statement must, in particular, set out— (a) the criteria to be used for assessing the effect of any particular energy network enterprises ceasing to be distinct enterprises on the Gas and Electricity Market Authority’s ability to make comparisons between (b) the relative weight to be given to the criteria. (5) Before preparing or altering the statement, the Gas and Electricity Markets (e) each energy network enterprise. (6) The Gas and Electricity Markets Authority must from time to time— (b) where appropriate, change the statement and publish the new (7) In forming its opinion under this section, the Gas and Electricity Markets Authority must apply the methods set out in its latest statement. (1) In respect of a relevant merger situation involving an energy network merger, (a) make a reference under both section 22 and section 68B, or

Schedule 5A – Energy network mergers affecting comparative modification of Chapter 1 of 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) make a reference under both section 33 and section 68C. (a) the references may be decided by the same group constituted under Schedule 4 to the Enterprise and Regulatory Reform Act 2013; (b) the functions of the CMA referred to in section 34C(1) and (2) may be carried out on behalf of the CMA by the same group in relation (c) the group’s duties under section 38 to prepare and publish a report on each reference may be satisfied by preparing and publishing a single report on both references. (a) a reference, or possible reference, under section 68B, and (b) a reference, or possible reference, under section 68C, Chapter 1 of this Part applies with the modifications set out in Schedule 5A. (2) In Chapters 2 to 5 of this Part, references to a provision of Chapter 1 include that provision as applied by subsection (1) and Schedule 5A.” I619 Sch. 16 para.
2 in force at Royal Assent, see s. 334(2)(j) 1 (1) Chapter 1 (other than sections 22 and 33) has effect as if— (a) references to a reference or possible reference under section 22 were references to a reference or possible reference under (b) references to a reference or possible reference under section 33 were references to a reference or possible reference under (2) The references in sub-paragraph (1) to a reference under a section include a reference treated as made under that section. 2 Section 23 (relevant merger situations) has effect as if— (a) in subsection (1), for paragraph (b) there were substituted—

Schedule 16 – Mergers of energy network enterprises 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 value of the turnover in Great Britain of the enterprise being taken over exceeds £70 (b) subsections (2) to (8) were omitted. 3 Section 28 (turnover test) has effect as if— (a) references to the United Kingdom were to Great Britain; (b) in subsection (5), for “The CMA shall” there were substituted “The CMA and the Gas and Electricity Markets Authority shall (c) the reference in subsection (6) to section 23(1)(b) included a reference to that provision as modified by paragraph 2 of this 4 Section 30 (relevant customer benefits) has effect as if— (a) in subsection (1)(a)(i), for “lessening of competition concerned” there were substituted “prejudice to the Gas and Electricity (b) in subsections (2)(b) and (3)(b), for “a similar lessening of competition” there were substituted “a similar prejudice to the Gas and Electricity Markets Authority”. Time limits for decisions about references 5 Section 34ZA(1)(a) (time-limits for decisions about references) has effect (a) the reference to section 22(2) were to section 68B(2); (b) the reference to section 22(3) were to— (i) that provision as applied by section 68B(4), and (c) the reference to section 33(2) were to section 68C(2); (d) the reference to section 33(3) were to— (i) that provision as applied by section 68C(4), and Questions to be decided in relation to completed mergers 6 Section 35 (questions to be decided in relation to completed mergers) has (a) in subsection (1)(a), after “situation” there were inserted “involving an energy network merger”; (b) in subsection (1)(b), for the words from “has resulted” to the end there were substituted “has caused, or may be expected to cause, substantial prejudice to the ability of the Gas and Electricity Markets Authority to make comparisons between energy network enterprises of the type involved in the energy (c) for subsection (2) there were substituted—

Schedule 16 – Mergers of energy network enterprises 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) For the purposes of this section there is a prejudicial outcome if there is a situation described in subsection (1)(a) which has, or may be expected to have, the effect described in subsection (1) (d) in subsection (3), for “an anti-competitive outcome (within the meaning given by subsection (2)(a))” there were substituted “a (e) in subsections (3)(a) and (b) and (4), for “lessening of competition” (in each place it appears) there were substituted Questions to be decided in relation to anticipated mergers 7 Section 36 (questions to be decided in relation to anticipated mergers) has (a) in subsection (1)(a), after “situation” there were inserted “involving an energy network merger”; (b) in subsection (1)(b), for the words from “result” to the end there were substituted “cause substantial prejudice to the ability of the Gas and Electricity Markets Authority to make comparisons between energy network enterprises of the type involved in the (c) after subsection (1) there were inserted— “(1A) For the purposes of this section there is a prejudicial outcome if there are arrangements described in subsection (1)(a) which may be expected to have the effect described in subsection (1) (d) in subsection (2), for “an anti-competitive outcome (within the meaning given by section 35(2)(b))” there were substituted “a (e) in subsections (2)(a) and (b) and (3), for “lessening of competition” (in each place it appears) there were substituted Duty to remedy effects of completed or anticipated mergers 8 Section 41 (duty to remedy effects of completed or anticipated mergers) (a) in subsection (1), for “an anti-competitive outcome” there were substituted “a prejudicial outcome (within the meaning of (b) in subsection (2)(a) and (b), for “lessening of competition” there (c) in subsection (4), for “lessening of competition” there were I620 Sch. 16 para. 3 in force at Royal Assent, see s. 334(2)(j)

Schedule 16 – Mergers of energy network enterprises 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 Part 3 of the Enterprise Act 2002 is amended as follows. I621 Sch. 16 para. 4 in force at Royal Assent, see s. 334(2)(j) F4 Sch. 16 para. 5 omitted (24.7.2024) by virtue of Digital Markets, Competition and Consumers Act 2024 (c. 13), s. 339(3), Sch. 6 para. 13(2) F5 Sch. 16 para. 6 omitted (24.7.2024) by virtue of Digital Markets, Competition and Consumers Act 2024 (c. 13), s. 339(3), Sch. 6 para. 13(2) 7 (1) Section 42 (intervention by Secretary of State in certain public interest cases) is (2) In subsection (1)(b), for “section 22 or 33” substitute “section 22, 33, 68B or 68C”. (3) In subsection (1)(c), after “33” insert “or subsection (2)(a) of section 68C“. (a) for “section 22 or 33” substitute “section 22, 33, 68B or 68C”; (b) in sub-paragraph (1), after the second “or (a)” insert “(including those provisions as applied by sections 68B and 68C)”. I622 Sch. 16 para.
7 in force at Royal Assent, see s. 334(2)(j) 8 In section 56(2) (competition cases where intervention on public interest grounds ceases), for “or 33” (in both places it occurs) substitute “, 33, 68B or 68C”. I623 Sch. 16 para. 8 in force at Royal Assent, see s. 334(2)(j) 9 In section 57(1) (duties of CMA and OFCOM to inform Secretary of State), for “section 22 or 33” substitute “section 22, 33, 68B or 68C”. Schedule 16 – Mergers of energy network enterprises 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) I624 Sch. 16 para. 9 in force at Royal Assent, see s. 334(2)(j) 10 In the italic heading at the beginning of Chapter 4, for “section 22 or 33” substitute I625 Sch. 16 para. 10 in force at Royal Assent, see s. 334(2)(j) 11 (1) Section 72 (initial enforcement completed or anticipated mergers) is amended (2) In subsection (1)(a), for “section 22 or 33” substitute “section 22, 33, 68B or 68C”. (3) In subsection (6)(a) and (d), for “section 22 or 33” substitute “section 22, 33, 68B I626 Sch. 16 para. 11 in force at Royal Assent, see s. 334(2)(j) 12 (1) Section 73 (undertakings in lieu of references) is amended as follows. (2) In the heading, for “22 or 33” substitute “22, 33, 68B or 68C”. (3) After subsection (3) insert— “(3A) Subsection (3B) applies if the CMA considers that it is under a duty to make a reference under section 68B or 68C; and for the purposes of this subsection (a) disregard the operation of section 22(3)(b) or 33(3)(b) (as applied (b) take account of its power under section 68B(2) or 68C(2) to decide (3B) The CMA may, instead of making such a reference and for the purpose of remedying, mitigating or preventing the prejudice to the ability of the Gas and Electricity Markets Authority described in section 68B(1) or 68C(1), accept from such of the parties concerned as it considers appropriate undertakings to take such action as it considers appropriate. (3C) In proceeding under subsection (3B), the CMA must, in particular, have regard to the need to achieve as comprehensive a solution as is reasonable and practicable to the prejudice. (3D) Before proceeding under subsection (3B), the CMA must— (a) ask the Gas and Electricity Markets Authority to give its opinion on the effect of the undertakings offered, and (b) consider the Authority’s opinion.” (4) In subsection (4), after “subsection (2)” insert “or (3B)”. Schedule 16 – Mergers of energy network enterprises 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) I627 Sch. 16 para. 12 in force at Royal Assent, see s. 334(2)(j) 13 (1) Section 73A (time-limits for consideration of undertakings) is amended as follows. (2) In subsection (1), after “73(2)” insert “or (3B)”. (3) In subsection (2), for “those purposes” substitute “the purposes of section 73(2) or I628 Sch. 16 para. 13 in force at Royal Assent, see s. 334(2)(j) 14 (1) Section 74 (effect of undertakings under section 73) is amended as follows. (3) In subsection (5)(a), for “or 33” substitute “, 33, 68B or 68C”. F6 Sch. 16 para. 14(2) omitted (24.7.2024) by virtue of Digital Markets, Competition and Consumers Act 2024 (c. 13), s. 339(3), Sch. 6 para. 13(3) I629 Sch. 16 para. 14 in force at Royal Assent, see s. 334(2)(j) 15 In section 77(1)(a) (restrictions on certain completed mergers), after “22” I630 Sch. 16 para. 15 in force at Royal Assent, see s. 334(2)(j) 16 In section 78(1)(a) (restrictions on certain share anticipated mergers), after I631 Sch. 16 para. 16 in force at Royal Assent, see s. 334(2)(j) 17 In section 79(1) and (2) (sections 77 and 78: further interpretation provisions), for “or 33” substitute “, 33, 68B or 68C”. I632 Sch. 16 para. 17 in force at Royal Assent, see s. 334(2)(j)

Schedule 16 – Mergers of energy network enterprises 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) 18 In section 80(1), (7) and (8) (interim undertakings), for “or 33” substitute “, 33, 68B I633 Sch. 16 para. 18 in force at Royal Assent, see s. 334(2)(j) 19 In section 81(1), (7) and (8) (interim orders), for “or 33” substitute “, 33, 68B I634 Sch. 16 para. 19 in force at Royal Assent, see s. 334(2)(j) 20 In section 82(3) and (4) (final undertakings), for “or 33” substitute “, 33, 68B I635 Sch. 16 para. 20 in force at Royal Assent, see s. 334(2)(j) 21 In section 84(5) (final orders), for “or 33” substitute “, 33, 68B or 68C”. I636 Sch. 16 para. 21 in force at Royal Assent, see s. 334(2)(j) 22 (1) Section 100 (exceptions to protection given by merger notices) is amended as (2) In subsection (1), for “or (as the case may be) 33” substitute “, 33, 68B or 68C”. (3) In subsection (2)(a), for “or 33” substitute “, 33, 68B or 68C”. I637 Sch. 16 para. 22 in force at Royal Assent, see s. 334(2)(j) 23 In section 104(6) (certain duties of relevant authorities to consult), in the definition of “relevant decision”, in paragraph (a)(i), for “or 33” substitute “, 33, 68B or 68C”. I638 Sch. 16 para. 23 in force at Royal Assent, see s. 334(2)(j) 24 In section 105(1) (general information duties of CMA), for “or 33” substitute “, I639 Sch. 16 para. 24 in force at Royal Assent, see s. 334(2)(j)

Schedule 16 – Mergers of energy network enterprises 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) 25 (1) Section 106 (advice and information about references) is amended as follows. (2) In the heading, for “sections 22 and 33” substitute “section 22, 33, 68B or 68C”. (3) In subsection (1)(a), for “or 33” substitute “, 33, 68B or 68C”. I640 Sch. 16 para. 25 in force at Royal Assent, see s. 334(2)(j) 26 (1) Section 107 (further publicity requirements) is amended as follows. (2) In subsection (1)(a), for “or 33” substitute “, 33, 68B or 68C”. (3) In subsection (1)(aa), for “subsection (2)(b) of section 33” substitute “section 33(2) (4) In subsection (1)(b), for “or 33” substitute “, 33, 68B or 68C”. (5) In subsection (2)(a), at the end insert “or 68C”. (6) In subsection (2)(b), for the words from “a reference” to the end substitute “a reference under section 22 or 68B as if it had been made under section 33 or 68C or to treat a reference under section 33 or 68C as if it had been made under section 22 I641 Sch. 16 para. 26 in force at Royal Assent, see s. 334(2)(j) 27 In section 109(A1)(a) (attendance of witnesses and production of documents etc), for “or 33” substitute “, 33, 68B or 68C”. I642 Sch. 16 para. 27 in force at Royal Assent, see s. 334(2)(j) 28 In section 110A(5) and (6) (restriction on powers to impose penalties under section 110), for “or 33” substitute “, 33, 68B or 68C”. I643 Sch. 16 para. 28 in force at Royal Assent, see s. 334(2)(j) 29 In section 110B(1) and (2) (restriction on powers to impose penalties under section 110), for “or 33” substitute “, 33, 68B or 68C”. I644 Sch. 16 para. 29 in force at Royal Assent, see s. 334(2)(j) 30 In section 121(3)(a) (fees), for “or 33” substitute “, 33, 68B or 68C”. Schedule 16 – Mergers of energy network enterprises 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) I645 Sch. 16 para. 30 in force at Royal Assent, see s. 334(2)(j) 31 In section 124(5) (orders and regulations), at the beginning insert “Regulations made by the Secretary of State under section 68A or”. I646 Sch. 16 para. 31 in force at Royal Assent, see s. 334(2)(j) 32 In section 127(3) (associated person), for “or 62” substitute “, 62, 68B or 68C”. I647 Sch. 16 para. 32 in force at Royal Assent, see s. 334(2)(j) (2) After the entry for “Enactment” insert— “Energy network enterprise Section 68A Energy network merger Section 68A”. (3) In the entry for “Final determination of reference under section 22 or 33”, for “or 33” substitute “, 33, 68B or 68C”. (4) In the entry for “References under section 22, 33, 45 or 62”— (a) for “or 62” substitute “, 62, 68B or 68C”, and (b) after “37(2)” insert “(including as applied by Schedule 5A)”. (5) In the entry for “The turnover in the United Kingdom of an enterprise”, after “28(2)” insert “(including as applied by Schedule 5A)”. I648 Sch. 16 para. 33 in force at Royal Assent, see s. 334(2)(j) 34 (1) Schedule 7 (enforcement regime for public interest and special public interest cases) (2) In paragraph 4(1), for “or 45” substitute “, 45, 68B or 68C”. (3) In paragraph 4(2)(a), for “or 33” substitute “, 33, 68B or 68C”. I649 Sch. 16 para. 34 in force at Royal Assent, see s. 334(2)(j)

Schedule 17 – Multi-purpose consequential amendments 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) 35 In section 105(3) of the Utilities Act 2000 (general restrictions on disclosure of information), in paragraph (azb), after “under” insert “Part 3 of the Enterprise Act I650 Sch. 16 para. 35 in force at Royal Assent, see s. 334(2)(j) Enterprise and Regulatory Reform Act 2013 36 (1) Schedule 4 to the Enterprise and Regulatory Reform Act 2013 is amended as follows. (2) In paragraph 35(3) (membership of CMA panel), in the definition of “specialist utility functions”, after paragraph (d) insert— “(dza) a reference under section 68B or 68C of the Enterprise Act 2002;”. (3) In paragraph 56 (CMA group requirement for two thirds majority), after “(2A) Sub-paragraph (2B) applies where a decision of a CMA group under section 35(1) or 36(1) of that Act (as applied by section 68F of, and Schedule 5A to, that Act) that there is, or is likely to be, prejudice of the kind described in section 68B(1)(b) or 68C(1)(b) of that Act is not a (2B) The decision of the CMA group is to be treated as a decision under section 35(1) or, as the case may be, section 36(1) of that Act (as applied by section 68F of, and Schedule 5A to, that Act) that there is not, or is not likely to be, prejudice of that kind.” I651 Sch. 16 para. 36 in force at Royal Assent, see s. 334(2)(j) 1 The Electricity Act 1989 is amended as follows. Schedule 17 – Multi-purpose consequential amendments 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) I652 Sch. 17 para. 1 not in force at Royal Assent, see s. 334(1) 2 In section 3A (principal objective and general duties of Secretary of State and Gas and Electricity Markets Authority)— (a) in subsection (1B), after “interconnectors” insert “or multi-purpose (b) in subsection (5)(a), after “interconnectors” insert “or multi-purpose (c) in subsection (5B), in the definition of “electricity-supply emissions”, after “interconnectors” insert “or multi-purpose interconnectors”. I653 Sch. 17 para.
2 not in force at Royal Assent, see s. 334(1) 3 In section 3F(2) (Gas and Electricity Markets Authority to cooperate with Northern Ireland Authority), after “interconnection” insert “and multi-purpose I654 Sch. 17 para. 3 not in force at Royal Assent, see s. 334(1) 4 In section 7 (conditions of general)— (a) in subsection (2), after “distribution licence” insert “or MPI licence”; (b) in subsection (2A), after “transmission licence” insert “or MPI licence”. I655 Sch. 17 para. 4 not in force at Royal Assent, see s. 334(1) 5 In section 29 (regulations relating to supply and safety)— (a) in subsection (1)(b), after “interconnectors” insert “or multi-purpose (i) in paragraph (b), after “interconnectors” insert “or multi-purpose (ii) in paragraph (c), after “interconnector” insert “or multi-purpose I656 Sch. 17 para. 5 not in force at Royal Assent, see s. 334(1) 6 In section 30 (electrical inspectors), in subsection (2)(a), after “interconnectors” insert “or multi-purpose interconnectors”. Schedule 17 – Multi-purpose consequential amendments 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) I657 Sch. 17 para. 6 not in force at Royal Assent, see s. 334(1) 7 In section 43 (functions with respect to competition)— (a) in subsection (2A)(b), after “interconnectors” insert “or multi-purpose (b) in subsection (2C)(b), after “interconnectors” insert “or multi-purpose (c) in subsection (3), after “interconnectors” insert “or multi-purpose I658 Sch. 17 para. 7 not in force at Royal Assent, see s. 334(1) 8 In subsection 44B (meaning of “section 44B dispute”), in subsection (1)(a), after “(iiia) made against the holder of an MPI licence,”. I659 Sch. 17 para. 8 not in force at Royal Assent, see s. 334(1) 9 In section 56A(4) (scope of power to alter activities requiring licence), after “electricity” insert “, with the operation of a multi-purpose interconnector”. I660 Sch. 17 para. 9 not in force at Royal Assent, see s. 334(1) 10 In section 58(2) (direction restricting the use of certain information), after “interconnectors” insert “or multi-purpose interconnectors”. I661 Sch. 17 para. 10 not in force at Royal Assent, see s. 334(1) 11 In section 98(1) (provision of statistical information), after “interconnectors” insert “or multi-purpose interconnectors”. I662 Sch. 17 para. 11 not in force at Royal Assent, see s. 334(1) I652 Sch. 17 para. 1 not in force at Royal Assent, see s. 334(1) I653 Sch. 17 para. 2 not in force at Royal Assent, see s. 334(1)

Schedule 17 – Multi-purpose consequential amendments 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) I654 Sch. 17 para. 3 not in force at Royal Assent, see s. 334(1) I655 Sch. 17 para. 4 not in force at Royal Assent, see s. 334(1) I656 Sch. 17 para. 5 not in force at Royal Assent, see s. 334(1) I657 Sch. 17 para. 6 not in force at Royal Assent, see s. 334(1) I658 Sch. 17 para. 7 not in force at Royal Assent, see s. 334(1) I659 Sch. 17 para. 8 not in force at Royal Assent, see s. 334(1) I660 Sch. 17 para. 9 not in force at Royal Assent, see s. 334(1) I661 Sch. 17 para. 10 not in force at Royal Assent, see s. 334(1) I662 Sch. 17 para. 11 not in force at Royal Assent, see s. 334(1) 12 In section 90B of the Scotland Act 1998 (the Crown Estate), in subsection (12) (d), after “interconnectors” insert “or multi-purpose interconnectors (within the meaning of Part 1 of the Electricity Act 1989)”. I663 Sch. 17 para. 12 not in force at Royal Assent, see s. 334(1) 13 In section 5A of the Utilities Act 2000 (duty of Authority to carry out impact assessment), in subsection (2)— (a) in paragraph (b), after “gas meters)” insert “or in the operation of a multi- (b) in paragraph (c), after “electricity” insert “or the operation of a multi- I664 Sch. 17 para. 13 not in force at Royal Assent, see s. 334(1) 14 Section 172 of the Energy Act 2004 (annual report on security of energy supplies) (a) in subsection (2D)(b), after “interconnectors” insert “and multi-purpose (b) in subsection (4), after ““generation”,” insert “, “multi-purpose I665 Sch. 17 para. 14 not in force at Royal Assent, see s. 334(1)

Schedule 17 – Multi-purpose consequential amendments 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) 15 (1) Schedule 1 to the Civil Contingencies Act 2004 (category 1 and 2 responders) is (2) In paragraph 19, in sub-paragraph (2)— (a) omit the “and” after paragraph (b); (b) after paragraph (c) insert “, and (3) In paragraph 30, in sub-paragraph (2)— (a) omit the “and” after paragraph (b); (b) after paragraph (c) insert “, and I666 Sch. 17 para. 15 not in force at Royal Assent, see s. 334(1) Consumers, Estate Agents and Redress Act 2007 16 In section 42 of the Consumers, Estate Agents and Redress Act 2007 (interpretation of Part 2), in subsection (4), in paragraph (c) of the definition of “electricity (a) for “or (e)” substitute “, (e) or (ea)”; (b) for “and interconnector licences” substitute “, interconnector licences and I667 Sch. 17 para. 16 not in force at Royal Assent, see s. 334(1) 17 In section 59 of the Energy Act 2013 (suspension etc of emissions limit in exceptional circumstances), in subsection (4)(a), after “interconnector” insert “or multi-purpose interconnector”. I668 Sch. 17 para.
17 not in force at Royal Assent, see s. 334(1) Regulation (EU) 2019/943 of the European Parliament and of the Council of 5th June 2019 on the internal market for electricity (recast) 18 In Article 63 of Regulation (EU) 2019/943 of the European Parliament and of the Council of 5th June 2019 on the internal market for electricity (recast), in paragraph 4A, for “granted under section 6(1)(e) of the Electricity Act 1989” substitute “or an MPI licence granted under section 6(1)(e) or (ea) respectively of the Electricity

Schedule 18 – Heat networks regulation 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) I669 Sch. 17 para. 18 not in force at Royal Assent, see s. 334(1) United Kingdom Internal Market Act 2020 19 In Part 2 of Schedule 2 to the United Kingdom Internal Market Act 2020 (services to which non-discrimination provisions do not apply), in the entry relating to services connected with the supply or production of electricity, after “interconnector” insert “or multi-purpose interconnector”. I670 Sch. 17 para. 19 not in force at Royal Assent, see s. 334(1) “code manager licence” has the meaning given by paragraph 25; “consumer redress order” has the meaning given by paragraph 37; “designated document” has the meaning given by paragraph 22; “emissions” has the same meaning as in the Climate Change Act 2008 “enforcement undertaking” has the meaning given by paragraph 38(2); “heat network authorisation” has the meaning given by paragraph 13; “heat network consumer” has the meaning given by the regulations; “installation and maintenance licence” has the meaning given “licensed code manager”, in relation to a designated document, has the meaning given by paragraph 25; “regulated activity” has the meaning given by paragraph 12; “the regulations” means regulations under section 219; “relevant condition” has the meaning given by paragraph 37; “relevant person” has the meaning given by paragraph 37; “relevant requirement” has the meaning given by paragraph 37; “targeted greenhouse gas” has the same meaning as in Part 1 of the Climate Change Act 2008 (see section 24 of that Act). Schedule 18 – Heat networks regulation 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) I671 Sch. 18 para. 1 in force at Royal Assent, see s. 334(2)(l) 2 (1) The regulations may make provision about the objectives of the Regulator in carrying out its functions under the regulations. (2) Regulations made by virtue of sub-paragraph (1) may, in particular, provide that the principal objective of the Regulator is to protect the interests of existing and future (3) The regulations may specify particular interests of existing and future heat network consumers that are to be protected. (4) The interests specified may, in particular, include— (a) their interests in the reliability of the supply of heating, cooling or hot water by means of relevant heat networks; (b) their interests in the reduction of emissions of targeted greenhouse gases generated by relevant heat networks; (c) their interests in charges for the supply of heating, cooling or hot water by means of relevant heat networks being proportionate; (d) their interests in information about services and charges being I672 Sch. 18 para. 2 in force at Royal Assent, see s. 334(2)(l) 3 (1) The regulations may make provision about the duties of the Regulator in carrying out its functions under the regulations. (2) The duties may, in particular, include— (a) a duty to carry out its functions in a manner best calculated to further its (b) a duty to consider, when carrying out its functions, the need to ensure that persons carrying out activities under a heat network authorisation or under an installation and maintenance licence are able to finance obligations imposed (c) a duty to have regard to the interests of heat network consumers who are in vulnerable circumstances when performing duties imposed by regulations made by virtue of paragraph (a) or (b). Schedule 18 – Heat networks regulation 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) Regulations made by virtue of sub-paragraph (2)(a) may require that the Regulator promote effective competition between persons engaged in, or in commercial activities connected with, the supply of heating, cooling or hot water by means of I673 Sch. 18 para. 3 in force at Royal Assent, see s. 334(2)(l) 4 (1) The regulations may provide for the Regulator to have regard, in carrying out a function under the regulations, to— (a) the interests of existing and future consumers in relation to electricity conveyed by distribution systems or transmission systems (within the meaning of the Electricity Act 1989); (b) the interests of existing and future consumers in relation to gas conveyed through pipes (within the meaning of the Gas Act 1986); (c) any interests of existing and future consumers in relation to— (i) communications services and electronic communications apparatus, (ii) water services or sewerage services (within the meaning of the Water which are affected by the carrying out of that function. (2) The regulations may provide for persons or bodies exercising regulatory functions in those fields to have regard, in carrying out a regulatory function, to the interests of existing or future consumers in relation to the supply of heating, cooling or hot water by means of relevant heat networks. I674 Sch. 18 para. 4 in force at Royal Assent, see s. 334(2)(l) I673 Sch. 18 para. 3 in force at Royal Assent, see s. 334(2)(l) I674 Sch. 18 para.
4 in force at Royal Assent, see s. 334(2)(l) 5 (1) The regulations may provide for the Regulator to delegate functions conferred on the (2) The regulations may specify functions which may be delegated only with the consent of the Secretary of State or, as the case may be, the Department. I675 Sch. 18 para. 5 in force at Royal Assent, see s. 334(2)(l)

Schedule 18 – Heat networks regulation 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) Monitoring, records and information 6 (1) The regulations may require the Regulator to keep under review the carrying on of activities connected with heat networks in the part or parts of the United Kingdom in relation to which the Regulator has functions under the regulations. (2) The regulations may require the Regulator to monitor such matters relating to the activities regulated by the regulations or the persons who carry on those activities as (3) The regulations may, for the purposes of enabling the Regulator to perform a duty imposed by regulations made by virtue of sub-paragraph (2), make provision enabling the Regulator to require information to be supplied. I676 Sch. 18 para. 6 in force at Royal Assent, see s. 334(2)(l) 7 (1) The regulations may require the Regulator to collect information with respect to activities connected with heat networks and the persons who carry on those activities for such purposes as are specified in the regulations. (2) The regulations may, in particular, require the Regulator to collect information relating to standards of performance achieved by— (a) persons who hold a heat network authorisation; (c) persons who hold an installation and maintenance licence. I677 Sch. 18 para. 7 in force at Royal Assent, see s. 334(2)(l) 8 (1) The regulations may make provision requiring the Regulator to maintain records. (2) Regulations made by virtue of sub-paragraph (1) may, in particular, make provision requiring the Regulator to maintain records relating to— (a) persons whose application for a heat network authorisation, a code manager licence or an installation and maintenance licence has been refused; (b) persons whose heat network authorisation, code manager licence or installation and maintenance licence has been revoked. (3) The regulations may make provision enabling or requiring the Regulator to provide information from its records to— (a) the Secretary of State or a person specified by the Secretary of State, (b) the Department or a person specified by the Department, or (c) the Scottish Ministers or a person specified by the Scottish Ministers. I678 Sch. 18 para. 8 in force at Royal Assent, see s. 334(2)(l)

Schedule 18 – Heat networks regulation 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) 9 (1) The regulations may make provision restricting the disclosure of information obtained by the Regulator under or by virtue of the regulations, subject to exceptions (2) The regulations may make provision about the disclosure to the Regulator of information held by other persons or bodies. I679 Sch. 18 para. 9 in force at Royal Assent, see s. 334(2)(l) 10 (1) The regulations may make provision for the purpose of securing that a disclosure of information which is authorised or required by the regulations does not contravene the data protection legislation. (2) In this paragraph, “the data protection legislation” has the same meaning as in the Data Protection Act 2018 (see section 3(9) of that Act). I680 Sch. 18 para. 10 in force at Royal Assent, see s. 334(2)(l) I676 Sch. 18 para. 6 in force at Royal Assent, see s. 334(2)(l) I677 Sch. 18 para. 7 in force at Royal Assent, see s. 334(2)(l) I678 Sch. 18 para. 8 in force at Royal Assent, see s. 334(2)(l) I679 Sch. 18 para. 9 in force at Royal Assent, see s. 334(2)(l) I680 Sch. 18 para. 10 in force at Royal Assent, see s. 334(2)(l) 11 (1) The regulations may make other general provision about the Regulator. (2) Regulations made by virtue of sub-paragraph (1) may, in particular, make provision (a) preparing and publishing documents about— (b) publishing reports annually; (c) publishing financial information in annual accounts; (d) preparing and publishing impact assessments. (3) Regulations made by virtue of sub-paragraph (1) may make provision about preparing, issuing, reviewing and revising guidance. (4) Regulations made by virtue of sub-paragraph (1) may provide for the publication of information and advice for the purpose of promoting the interests of existing and future heat network consumers. Schedule 18 – Heat networks regulation 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) I681 Sch. 18 para. 11 in force at Royal Assent, see s. 334(2)(l) Prohibition from carrying on regulated activity 12 (1) The regulations may prohibit a person from carrying on a regulated activity, except as permitted by virtue of an authorisation conferred under regulations made by virtue (2) In this paragraph, “regulated activity” means an activity relating to a relevant heat network of such description as may be specified in the regulations. I682 Sch. 18 para. 12 in force at Royal Assent, see s. 334(2)(l) 13 (1) The regulations may provide for the Regulator to confer authorisations (“heat network authorisations”) to carry on one or more regulated activities specified in the authorisation in relation to a particular relevant heat network. (2) The regulations may require a person who applies for a heat network authorisation— (a) to satisfy such conditions relating to the person, the regulated activity or activities in question or the relevant heat network in question as the (b) to provide such information as the regulations may specify.
(3) The regulations may provide for the Regulator— (a) to confer a heat network authorisation; (b) to confer a heat network authorisation on a temporary basis; (c) to refuse to confer a heat network authorisation. (4) The regulations may make provision about the procedure for applying for a heat network authorisation, including provision about— (a) the form and content of an application, (b) the manner in which the application and any accompanying documents are to be submitted to the Regulator; (5) Regulations made in relation to England and Wales and Scotland by virtue of sub- paragraph (2) (b) or (4) may provide for the Regulator to make provision by regulations about the matters referred to in that sub-paragraph. Schedule 18 – Heat networks regulation 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) Regulations made by the Regulator by virtue of sub-paragraph (5) are to be made (7) The regulations may make provision as to the period for which an authorisation may I683 Sch. 18 para. 13 in force at Royal Assent, see s. 334(2)(l) 14 (1) The regulations may make provision about the conditions to be included in heat (2) The regulations may, in particular— (a) provide for the Regulator to determine and publish conditions to be included in each heat network authorisation or in each heat network authorisation of (b) provide for the Secretary of State or, in relation to Northern Ireland, the Department to determine and publish conditions to be included in each heat network authorisation or in each heat network authorisation of a particular (c) provide for consultation on, and publication of, the conditions proposed to (d) make provision about the inclusion in a heat network authorisation of conditions that are special to that authorisation; (e) make provision about including conditions that meet objectives or other criteria specified in the regulations. (3) The regulations may, in particular, provide for conditions to be included in a heat network authorisation requiring the person who holds the authorisation— (a) to comply with the provisions of a particular designated document; (b) to enter into governance arrangements with the person who is from time to time the licensed code manager for that designated document and to comply (c) to provide funding for the person who is from time to time the licensed code manager for that designated document. (4) The regulations may, in particular, provide for the following sorts of conditions to be included in a heat network authorisation— (a) conditions about the terms on which premises are connected to a relevant heat network (whether for the purpose of supplying heating, cooling or hot water to premises, or supplying thermal energy to a relevant heat network); (b) conditions about installing and maintaining equipment for measuring, displaying, recording and regulating consumption of heating, cooling and hot water supplied by means of relevant heat networks; (i) the charges payable by heat network consumers or a description of heat network consumers specified in the regulations, (ii) the billing of heat network consumers;

Schedule 18 – Heat networks regulation 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) (iv) the communication of information about the heat network, the services provided or the terms on which the services are provided; (d) conditions relating to price regulation (including by means of regulation of (e) conditions about complying with technical standards (including, in relation to England and Wales and Scotland, technical standards for which provision is made in a designated document); (f) conditions about ensuring the continuity of the supply of heating, cooling and hot water to heat network consumers; (g) conditions about limiting emissions of targeted greenhouse gases in relation to relevant heat networks in England or Northern Ireland; (h) conditions about providing information to the Regulator; (i) conditions about the payment of fees to the Regulator, including conditions (i) in connection with the conferring of an authorisation; (ii) while an authorisation continues to be in force in relation to a person; (j) conditions about making payments to the Regulator of sums relating to the costs of the Regulator under regulations made by virtue of paragraph 46(2). (5) Conditions of the sort referred to in sub-paragraph (4)(c)(i) may, in particular— (a) provide for charges imposed on heat network consumers to be subject to a (b) require a person who holds a heat network authorisation not to impose on heat network consumers charges that are disproportionate (see paragraph (6) Conditions of the sort referred to in sub-paragraph (4)(c)(ii) may, in particular— (a) impose requirements about the bills given to heat network consumers (including requirements about their frequency, accuracy and the use of (b) impose requirements about the information and explanatory material to be provided to heat network consumers; (c) make provision about the charges that may be made in respect of the costs of providing bills and such information and explanatory material. (7) The regulations may, in particular, provide for conditions to be included in a heat (a) in relation to England and Wales or Scotland, impose on the person who holds the authorisation a requirement of a kind that may be imposed under section 7(3) of the Electricity Act 1989 on the holder of a licence under (b) in relation to Northern Ireland, impose on the person who holds the authorisation a requirement of a kind that may be imposed under Article 11(3) of the Electricity (Northern Ireland) Order 1992 (S.I. 1992/231 (N.I. 1)) on the holder of a licence under Article 10(1) of that Order. I684 Sch. 18 para. 14 in force at Royal Assent, see s. 334(2)(l)

Schedule 18 – Heat networks regulation 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) I683 Sch. 18 para. 13 in force at Royal Assent, see s. 334(2)(l) I684 Sch. 18 para. 14 in force at Royal Assent, see s. 334(2)(l) Conditions about technical further provision 15 The technical standards for which regulations made by virtue of paragraph 14(4)(e) may make provision include technical standards relating to— (a) the design, construction, commissioning, operation or maintenance of a (b) the decommissioning of a heat network; (c) equipment or materials used in the construction, operation or maintenance (d) the competence of persons engaged in the design, construction, commissioning, operation or maintenance of a heat network. I685 Sch. 18 para. 15 in force at Royal Assent, see s. 334(2)(l) Conditions about continuity of further provision 16 Conditions of the sort referred to in paragraph 14(4)(f) may, in particular, require the holder of a heat network authorisation to enter into and maintain contractual arrangements under which, in circumstances of a description specified in the conditions, one or more other persons are under an obligation to secure the continuity of the supply of heating, cooling or hot water. I686 Sch. 18 para. 16 in force at Royal Assent, see s. 334(2)(l) 17 Conditions of the sort referred to in paragraph 14(4)(f) may, in particular, require the holder of a heat network authorisation, when directed to do so by the Regulator in circumstances of a description specified in the conditions, to carry on a regulated activity in relation to a relevant heat network in the place of another person I687 Sch. 18 para. 17 in force at Royal Assent, see s. 334(2)(l) I686 Sch. 18 para. 16 in force at Royal Assent, see s. 334(2)(l) I687 Sch. 18 para. 17 in force at Royal Assent, see s. 334(2)(l)

Schedule 18 – Heat networks regulation 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) Modification of heat network authorisations 18 (1) The regulations may provide for the modification by the Regulator of— (a) the conditions of a particular heat network authorisation; (b) conditions that are included in two or more heat network authorisations. (2) Regulations made by virtue of sub-paragraph (1) may, in particular— (a) provide for the procedure to be followed by the Regulator when it proposes (b) provide for the communication of any modification; (c) provide for the time when any modification takes effect; (d) provide for the Regulator to comply with a direction of the Secretary of State or, in relation to Northern Ireland, the Department not to make a particular (3) In sub-paragraphs (1) and (2), a reference to the modification of a condition includes a reference to the revocation of a condition. (4) The regulations may provide for the conditions of a heat network authorisation— (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; (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. I688 Sch. 18 para. 18 in force at Royal Assent, see s. 334(2)(l) Review and revocation of heat network authorisations 19 The regulations may provide for the conditions of, or the activities carried out by virtue of, a heat network authorisation to be reviewed by the Regulator at any time I689 Sch. 18 para. 19 in force at Royal Assent, see s. 334(2)(l) 20 (1) The regulations may provide— (a) for the revocation of a heat network authorisation by the Regulator; (b) for a heat network authorisation to cease to have effect in circumstances specified in or determined under the authorisation. (2) Regulations made by virtue of sub-paragraph (1)(a) may, in particular, provide for the procedure to be followed by the Regulator when it proposes to revoke the I690 Sch. 18 para. 20 in force at Royal Assent, see s. 334(2)(l)

Schedule 18 – Heat networks regulation 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) I689 Sch. 18 para. 19 in force at Royal Assent, see s. 334(2)(l) I690 Sch. 18 para. 20 in force at Royal Assent, see s. 334(2)(l) 21 (1) The regulations may make provision with respect to persons carrying on a regulated activity in relation to a relevant heat network during a period that— (a) begins with the day on which any regulations made by virtue of paragraph (b) ends with a day specified in the regulations. (a) provide for the period to be prolonged, or to be prolonged as it relates to a description of heat network authorisations, by the Regulator; (b) require the consent of the Secretary of State or the Department (as the case may be) to such an alteration. (3) Regulations made by virtue of sub-paragraph (1) may— (a) provide for a person carrying on a regulated activity in relation to a relevant heat network to be treated as holding a heat network authorisation in relation to that activity and that relevant heat network during the period described in sub-paragraph (1) (or, if applicable, during that period as prolonged by (b) make provision as to the conditions of the heat network authorisation treated as conferred on such a person (including provision similar to the provision described in paragraph 14(2)); (c) require a person carrying on a regulated activity in relation to a relevant heat network to apply to the Regulator for a heat network authorisation to be conferred on the person by a time specified in or determined under the (4) Regulations made by virtue of sub-paragraph (3)(c) may provide for different times for different descriptions of case. I691 Sch. 18 para.