Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (5) A notice under subsection (1) must be published in such manner as the Secretary of State considers appropriate for bringing it to the attention of those likely to be affected (6) The Secretary of State may revoke the designation of a central system under this (7) The Secretary of State may not designate a central system, or revoke the designation of a central system, except so as to give effect to a recommendation of the GEMA. (8) Before making a recommendation to the Secretary of State for the purposes of subsection (7), the GEMA must consult such persons as it considers appropriate. (9) Subsection (8) does not apply in relation to the designation of a central system where— (a) immediately before being designated, the central system is a qualifying central system within the meaning of Schedule 12, and (b) the designation does not involve any change to the responsible body in relation (10) The Secretary of State may by notice provide— (a) that the person who is the responsible body in relation to a designated central system is to cease to be the responsible body in relation to that system, and (b) that a person specified in a notice under this paragraph is instead to be the responsible body in relation to the designated central system. (11) The Secretary of State may not give a notice under subsection (10) except so as to give effect to a recommendation of the GEMA. I216 S. 184 not in force at Royal Assent, see s. 334(1) I217 S. 184 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(i) Licensing and selection of code manager 185 Licence under Gas Act 1986 for performance of code management function (1) Part 1 of the Gas Act 1986 is amended as follows. (2) Section 5 (prohibition on unlicensed activities) is amended as follows. (3) After subsection (1)(d) insert “; or (e) performs the function of code manager in relation to a designated gas licence document (see further subsections (11A) and (11B)),”. (4) After subsection (11) insert— “(11A) A reference in this Part to a person (“P”) performing the function of code manager in relation to a designated gas licence document is a reference to making arrangements, with the persons to whom subsection (11B) applies, under which P is responsible for the governance of the document. Part 6 – Governance of gas and electricity industry codes 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) (11B) This subsection applies to the holder of a licence for the purposes of section 5 where a condition of the licence— (a) requires the holder to comply with, or to enter into arrangements that conform with, the designated gas licence document in question, or (b) imposes obligations on the holder that do not apply to the holder where the holder complies with that document.” (a) omit the “and” after the definition of “relevant information”; (b) at the appropriate place insert— ““designated gas licence document” means a document that is— (a) maintained in accordance with the conditions of a licence for the purposes of section 5, and (b) designated under section 182 of the Energy Act 2023;”. “7AC Licensing of a person performing code manager function (1) The Authority may grant a licence (“a code manager licence”) authorising a person to perform the function of code manager in respect of a designated gas (2) Where a designated gas licence document is also a designated electricity licence document, a person may not be granted a code manager licence in respect of the document unless the same person is at the same time granted a licence under section 6(1)(g) of the Electricity Act 1989. “designated electricity licence document” has the same meaning as in section 4 of the Electricity Act 1989; “designated gas licence document” has the same meaning as in (7) Section 7B (licences: general) is amended as follows. (a) after “smart meter communication licence” (in the first place it occurs) insert “or in a code manager licence”; (b) for “smart meter communication licence” (in the second place it occurs) substitute “a licence of the same type”. (a) for “Secretary of State or the Authority” substitute “relevant authority”; (b) in paragraph (b)(ii), after “licence” insert “or (in the case of an application for a code manager licence) apply for a licence otherwise than as part of a (10) In subsection (5C), after “smart meter communication licence” insert “or in a code (11) In subsection (5D), for “the Secretary of State or the Authority” substitute “the relevant

Part 6 – Governance of gas and electricity industry codes 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), for “Secretary of State or the Authority (as appropriate)” substitute “relevant authority”; (b) in paragraph (b), for “Secretary of State or the Authority (as appropriate)” substitute “relevant authority”. (13) After subsection (5F) insert— “(5FA) In subsections (5B) to (5E), “the relevant authority” means— (a) in relation to a smart meter communication licence, the Secretary of (b) in relation to a code manager licence, the Authority.” (14) In section 8AA (transfer of licences), after subsection (11A) insert— “(11B) Where the holder of a code manager licence is also the holder of a licence under section 6(1)(g) of the Electricity Act 1989, the code manager licence may not be transferred to a person unless the licence under section 6(1)(g) of that Act is transferred to the same person at the same time.” I218 S. 185 not in force at Royal Assent, see s. 334(1) I219 S. 185 in force at 10.9.2024 by S.I. 2024/890, reg.
2(b)(ii) 186 Licence under Electricity Act 1989 for performance of code management (1) Part 1 of the Electricity Act 1989 is amended as follows. (2) Section 4 (prohibition on unlicensed supply, etc) is amended as follows. (a) omit the “or” after paragraph (d); (b) after paragraph (e) insert “ or (f) performs the function of code manager in relation to a designated electricity licence document (see further (4) After subsection (3G) insert— “(3H) A reference in this Part to a person (“P”) performing the function of code manager in relation to a designated electricity licence document is a reference to making arrangements, with the persons to whom subsection (3I) applies, under which P is responsible for the governance of the document. (3I) This subsection applies to the holder of a licence for the purposes of section 4 where a condition of the licence requires the holder to comply with the designated electricity licence document in question.” (5) In subsection (6), at the appropriate place insert— ““designated electricity licence document” means a document that is—

Part 6 – Governance of gas and electricity industry codes 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) maintained in accordance with the conditions of a licence for the (b) designated under section 182 of the Energy Act 2023;”. (6) Section 6 (licences authorising supply, etc) is amended as follows. (a) omit the “or” after paragraph (e); (b) after paragraph (f) insert “, or (g) a licence authorising a person to perform the function of code manager in relation to a designated electricity licence document (“a code manager licence”).” (8) After subsection (2B) insert— “(2C) Where a designated electricity licence document is also a designated gas licence document, a person may not be granted a code manager licence in relation to the document unless the same person is at the same time granted a licence under section 7AC of the Gas Act 1986.” (9) For subsection (10) substitute— “designated electricity licence document” has the same meaning “designated gas licence document” has the same meaning as in section 5 of the Gas Act 1986; “premises” has the same meaning as in section 4.” (10) Section 7 (conditions of general) is amended as follows. (a) after “smart meter communication licence” (in the first place it occurs) insert “or in a code manager licence”; (b) for “smart meter communication licence” (in the second place it occurs) substitute “a licence of the same type”. (a) for “Secretary of State or the Authority” substitute “relevant authority”; (b) in paragraph (b)(ii), after “licence” insert “or (in the case of an application for a code manager licence) apply for a licence otherwise than as part of a (13) In subsection (3D), after “smart meter communication licence” insert “or in a code (14) In subsection (3E), for “the Secretary of State or the Authority” substitute “the relevant (a) in paragraph (a), for “Secretary of State or the Authority (as appropriate)” substitute “relevant authority”; (b) in paragraph (b), for “Secretary of State or the Authority (as appropriate)” substitute “relevant authority”. Part 6 – Governance of gas and electricity industry codes 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) (16) In subsection (3G)(a), after “licence” insert “or (as the case may be) code manager (17) After subsection (3G) insert— “(3GA) In subsections (3C) to (3F), “the relevant authority” means— (a) in relation to a smart meter communication licence, the Secretary of (b) in relation to a code manager licence, the Authority.” (18) In section 7A (transfer of licences), after subsection (11A) insert— “(11B) Where the holder of a code manager licence is also the holder of a licence under section 7AC of the Gas Act 1986, the code manager licence may not be transferred to a person unless the licence under section 7AC of that Act is transferred to the same person at the same time.” I220 S. 186 not in force at Royal Assent, see s. 334(1) I221 S. 186 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(iii) (1) The GEMA must determine whether the selection of the person who is to be the code manager in relation to a designated document is to be made— (a) on a non-competitive basis, in accordance with regulations made by the Secretary of State under section 188, or (b) on a competitive basis, in accordance with regulations made by the GEMA (2) The Secretary of State may by regulations make— (a) provision about the making of determinations under subsection (1) by the GEMA (which may include provision specifying criteria to be applied by the GEMA in making determinations); (b) provision enabling the GEMA, in circumstances specified in the regulations, to change the basis on which the selection of a code manager is to be made. (3) The Secretary of State may by regulations— (a) specify requirements to be met by or in relation to a person in order for the person to be selected as the code manager in relation to a designated (b) specify persons, or persons of a particular description, who may or may not be selected to be a code manager in relation to a designated document. I222 S. 187 not in force at Royal Assent, see s. 334(1) I223 S. 187 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(iv)

Part 6 – Governance of gas and electricity industry codes 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) 188 Selection on a non-competitive basis (1) The Secretary of State may by regulations make provision about the selection by the GEMA, otherwise than on a competitive basis, of the person who is to be the code manager in relation to a designated document. (2) Regulations under this section may make provision by reference to a determination by the GEMA or to the opinion of the GEMA as to any matter. (3) Regulations under this section must make provision so as to ensure that a person (“P”) may not be selected to be the code manager in relation to a designated document unless the GEMA is satisfied that P would not, if selected, have a financial or other interest likely to prejudice the discharge by P of the functions of code manager. (4) The provision that may be made by virtue of subsection (1) includes provision for the selection by the GEMA of a person (other than an individual) formed by the GEMA. I224 S. 188 not in force at Royal Assent, see s. 334(1) I225 S. 188 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(iv) 189 Selection on a competitive basis (1) The GEMA may by regulations make provision for a determination by the GEMA on a competitive basis of the person who is to be selected to be the code manager in relation to a designated document. (2) Regulations under this section may make provision about the procedure relating to the making of such a determination, which may include provision— (a) in prescribed cases, for the publication of a proposal to select a code manager in relation to a designated document; (b) for the inclusion in such a proposal of an invitation to apply for selection; (c) imposing conditions in relation to the making of applications (whether in pursuance of a proposal published as mentioned in paragraph (a) or (d) restricting the making of applications and imposing requirements as to the period within which they must be made; (e) for regulating the manner in which applications are considered or determined; (f) authorising or requiring the GEMA, when determining whom to select, to have regard to the person’s suitability for being selected. (3) Regulations under this section may make provision by reference to a determination by the GEMA or to the opinion of the GEMA as to any matter. (4) Regulations under this section must make provision so as to ensure that a person (“P”) may not be selected to be the code manager in relation to a designated document unless the GEMA is satisfied that P would not, if selected, have a financial or other interest likely to prejudice the discharge by P of the functions of code manager. (5) The approval of the Secretary of State is required for the making of regulations under

Part 6 – Governance of gas and electricity industry codes Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (6) In this section, “prescribed” means prescribed by or determined in accordance with I226 S. 189 not in force at Royal Assent, see s. 334(1) I227 S. 189 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(iv) Strategic direction statement for designated documents 190 Strategic direction statement (1) The GEMA must, each year, prepare and publish a statement setting out a strategic direction for designated documents. (2) A statement prepared and published under subsection (1) is referred to in this Part as a “strategic direction statement”. (3) A strategic direction statement must in particular— (a) contain a strategic assessment of government policies, and of developments relating to the energy sector, that the GEMA considers will or may require the making of modifications to designated documents; (b) cover such other matters relating to designated documents as the Secretary of State may specify in regulations. (4) In preparing a strategic direction statement, the GEMA must have regard to any advice given to it by the Independent System Operator and Planner so far as relevant to the matters referred to in subsection (3). (5) Before publishing a strategic direction statement in any year, the GEMA must— (a) publish a notice containing a draft of the document, (b) send a copy of the notice to the persons listed in subsection (6), and (c) consider any representations about the draft made within the period specified (6) The persons referred to in subsection (5)(b) are— (b) the National Association of Citizens Advice Bureaux; (c) the Scottish Association of Citizens Advice Bureaux; (7) A notice under subsection (5) must be published by the GEMA in whatever way it considers appropriate for the purpose of bringing the matters contained in it to the attention of persons likely to be affected by them. I228 S. 190 not in force at Royal Assent, see s. 334(1) I229 S. 190 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(v)

Part 6 – Governance of gas and electricity industry codes 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) 191 Transfer of functions under section 190 to Independent System Operator and (1) The Secretary of State may by regulations amend section 190 so as to provide for functions under that section to be exercisable by the Independent System Operator and Planner (instead of by the GEMA). (2) Before making regulations under this section, the Secretary of State must consult— (b) the Independent System Operator and Planner, and (c) any other persons whose interests are likely to be affected by the proposal.
(3) Regulations under this section— (a) must repeal section 190(4); (b) must add the GEMA to the list of persons in section 190(6); (c) may make such other amendments to section 190 as the Secretary of State I230 S. 191 not in force at Royal Assent, see s. 334(1) I231 S. 191 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(v) 192 Modification of designated documents by GEMA (1) The GEMA may modify a designated document if any of subsections (2) to (6) applies. (2) This subsection applies where the GEMA considers that— (a) the designated document needs to be modified as a matter of urgency, (b) the making of the modification is likely to be delayed if done in accordance with the normal modification procedures for the document, and (c) such a delay would have adverse effects on— (ii) any person with rights or obligations under the document, other than (3) This subsection applies where the GEMA considers that a financial or other interest of the code manager in respect of the matter to which the modification relates is likely to prejudice the making of the modification if done in accordance with the normal modification procedures for the document. (4) This subsection applies where the GEMA considers that— (a) the modification is required for the purpose of implementing a strategic direction statement under section 190, and (b) the nature of the modification (for example, its complexity) is such that it needs to be made under this section rather than in accordance with the normal modification procedures for the designated document. Part 6 – Governance of gas and electricity industry codes Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (5) This subsection applies where the GEMA considers that the modification is required in connection with the incorporation of the whole or part of the provision made by the designated document into another document (whether or not a designated document). (6) This subsection applies where the GEMA considers that the modification is required in consequence of the exercise of any power conferred by Schedule 12 (transitional provisions) in relation to a different document. (7) The Secretary of State may by regulations make— (a) provision specifying requirements to be met in relation to the exercise of the (b) provision supplementing subsections (2) to (6). (8) References in this section to the normal modification procedures for a designated document are to provision, relating to the procedure for modifying the document, (a) is contained in the document, or (b) applies pursuant to any condition of a licence in accordance with which the I232 S. 192 not in force at Royal Assent, see s. 334(1) I233 S. 192 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(vi) 193 Modification under section 192 (1) Before making a modification under section 192, the GEMA must— (a) publish a notice about the proposed modification, (b) send a copy of the notice to the persons listed in subsection (2), 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. (2) The persons mentioned in subsection (1)(b) are— (b) the code manager in relation to the designated document to which the proposed modification relates, and (c) such other persons as the GEMA considers appropriate. (3) A notice under subsection (1) 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 (i) why the GEMA is seeking to make the modification under section 192 (by reference to whichever of subsections (2) to (6) of section 192 (ii) the reasons for the proposed modification. Part 6 – Governance of gas and electricity industry codes 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, within the period specified by virtue of subsection (1)(c), the Secretary of State directs the GEMA not to make the proposed modification, the GEMA must comply (5) If, after complying with subsections (1) to (3) in relation to a proposed modification, the GEMA decides to make a modification, it must publish a notice about the decision. (6) A notice under subsection (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 subsection (1); (e) state the reason for any differences between the modification set out in the notice and the proposed modification. (7) A notice under this section about a proposed modification or a 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. I234 S. 193 not in force at Royal Assent, see s. 334(1) I235 S. 193 in force at 10.9.2024 by S.I. 2024/890, reg.
2(b)(vi) 194 Directions relating to designated central systems (1) The GEMA may give a direction to the responsible body in relation to a designated central system for the purpose of ensuring that the body— (a) complies with its obligations under a relevant designated document, or (b) takes such steps as the GEMA considers may be necessary for the efficient operation or implementation of the provisions of a relevant designated (2) When determining whether to give a direction under this section, the GEMA must have regard to the ability of the responsible body to whom the direction would be given— (a) to recover any costs reasonably incurred by the body in complying with the (b) to comply with the direction without contravening any obligations of the body under a relevant designated document or in relation to the operation of the (3) A responsible body must comply with a direction given to it under this section. (4) In this section and section 195, “relevant designated document”, in relation to a designated central system, means a designated document in respect of which the central system has a function mentioned in section 184(2). I236 S. 194 not in force at Royal Assent, see s. 334(1)

Part 6 – Governance of gas and electricity industry codes 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) I237 S. 194 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(vi) 195 Directions under section 194 (1) Before giving a direction under section 194, the GEMA must— (a) publish a notice about the proposed direction, (b) send a copy of the notice to the persons listed in subsection (2), and (c) consider any representations made within the period specified in the notice about the proposed direction or the date from which it would take effect. (2) The persons mentioned in subsection (1)(b) are— (a) the responsible body to whom the direction is proposed to be given, and (b) the code manager in relation to the relevant designated document. (3) A notice under subsection (1) must— (a) state that the GEMA proposes to give a direction; (b) set out the proposed direction and its effect; (c) specify the date from which the GEMA proposes that the direction will have (d) state the reasons why the GEMA proposes to give the direction. (4) If, after complying with subsections (1) to (3) in relation to a direction, the GEMA decides to give a direction, it must publish a notice about the decision. (5) A notice under subsection (4) must— (a) state that the GEMA has decided to give the direction; (b) set out the direction and its effect; (c) specify the date from which the direction has effect; (d) state how the GEMA has taken account of any representations made in the period specified in the notice under subsection (1); (e) state the reason for any differences between the direction set out in the notice (6) A notice under this section about a proposed direction or a 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 direction or decision. I238 S. 195 not in force at Royal Assent, see s. 334(1) I239 S. 195 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(vi) General objectives and reports 196 Principal objective and general duties of Secretary of State and GEMA under Sections 4AA to 4B of the Gas Act 1986 and sections 3A to 3D of the Electricity Act 1989 (principal objective and general duties) apply in relation to the functions

Part 6 – Governance of gas and electricity industry codes 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) under this Part of the Secretary of State and of the GEMA as they apply in relation to functions of the Secretary of State and of the GEMA under Part 1 of that Act. I240 S. 196 not in force at Royal Assent, see s. 334(1) I241 S. 196 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(vii) 197 GEMA’s annual report to cover matters relating to designated documents (1) Section 5 of the Utilities Act 2000 (annual and other reports of the GEMA) is amended (2) After subsection (3) insert— “(3A) The annual report for each year must also include an overview of— (a) developments relating to documents designated for the purposes of Part 6 of the Energy Act 2023 (governance of gas and electricity (b) decisions made by the Authority during the year in relation to such documents, including details of any modifications made under section 192 of the Energy Act 2023.” I242 S. 197 not in force at Royal Assent, see s. 334(1) I243 S. 197 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(vii) (1) Regulations under this Part are subject to the negative procedure, subject to (2) Regulations under section 191 are subject to the affirmative procedure. I244 S. 198 not in force at Royal Assent, see s. 334(1) I245 S. 198 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(viii) “central system” and “designated central system” have the meaning given “code manager”, in relation to a designated document, has the meaning given

Part 7 – Market reform and consumer protection 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) “code manager licence” has the meaning given by section 183(2); “designated document” has the meaning given by section 182(1); “the Independent System Operator and Planner” means the person for the time being designated under section 162(1); “relevant licence” means a licence for the purposes of section 4 of the Electricity Act 1989 or section 5 of the Gas Act 1986 (prohibitions on “responsible body”, in relation to a designated central system, has the meaning given by section 184(4). I246 S. 199 not in force at Royal Assent, see s. 334(1) I247 S. 199 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(viii) 200 Transitional provision and pension arrangements (1) Schedule 12 contains transitional provision in connection with this Part. (2) Schedule 13 contains provision about pension arrangements in connection with this I248 S. 200 not in force at Royal Assent, see s. 334(1) I249 S. 200 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(ix) 201 Minor and consequential amendments Schedule 14 contains minor and consequential amendments in connection with this I250 S. 201 not in force at Royal Assent, see s. 334(1) I251 S. 201 in force at 10.9.2024 by S.I. 2024/890, reg. 2(b)(x) Principal objectives of Secretary of State and GEMA 202 Principal objectives of Secretary of State and GEMA (1) Section 4AA of the Gas Act 1986 (principal objective and general duties of Secretary of State and GEMA) is amended as set out in subsections (2) and (3). Part 7 – Market reform and consumer protection 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) In subsection (1A)(a), for “the reduction of gas-supply emissions of targeted greenhouse gases” substitute “the Secretary of State’s compliance with the duties in sections 1 and 4(1)(b) of the Climate Change Act 2008 (net zero target for 2050 and (3) In subsection (5B), omit the definitions of “emissions”, “gas-supply emissions” and (4) Section 3A of the Electricity Act 1989 (principal objective and general duties of Secretary of State and GEMA) is amended as set out in subsections (5) and (6). (5) In subsection (1A)(a), for “the reduction of electricity-supply emissions of targeted greenhouse gases” substitute “the Secretary of State’s compliance with the duties in sections 1 and 4(1)(b) of the Climate Change Act 2008 (net zero target for 2050 and (6) In subsection (5B), omit the definitions of “emissions”, “electricity-supply emissions” and “targeted greenhouse gases”. I252 S. 202 in force at 26.12.2023, see s. 334(3) 203 Competitive tenders for electricity projects (1) Schedule 15 contains amendments of the Electricity Act 1989 in connection with enabling competitive tendering for electricity projects. (2) The power conferred by section 330(1) (consequential provision) includes, in particular, power to amend provision inserted in the Electricity Act 1989 by Schedule 15 where the amendment is consequential on the coming into force of paragraph 4 of Schedule 11. I253 S. 203 in force at Royal Assent, see s. 334(2)(i) 204 Mergers of energy network enterprises (1) Schedule 16 makes provision about mergers of energy network enterprises. (2) The Secretary of State must carry out a review of the operation of sections 68A to 68F of, and Schedule 5A to, the Enterprise Act 2002 (inserted by Schedule 16) before the end of the period of 5 years beginning with the day on which paragraph 2 of Schedule 16 to this Act comes into force. (3) The Secretary of State must set out the conclusions of the review in a report. (4) The report must, in particular— (a) set out the objectives of the provisions subject to review,

Part 7 – Market reform and consumer protection 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) assess the extent to which those objectives have been achieved, and (c) assess whether those objectives remain appropriate and, if so, the extent to which those objectives could be achieved in a way that imposes less (5) The Secretary of State must lay the report before Parliament. I254 S. 204 in force at Royal Assent, see s. 334(2)(j) 205 Licence required for operation of multi-purpose interconnector (1) Section 4 of the Electricity Act 1989 (prohibition on unlicensed supply etc of electricity) is amended in accordance with subsections (2) to (5). (a) omit the “or” after paragraph (d); (b) after paragraph (d) insert— “(da) participates in the operation of a multi-purpose (3) After subsection (3C) insert— “(3CA) A reference in this Part to participating in the operation of a multi-purpose interconnector is a reference to— (a) co-ordinating and directing the flow of electricity into or through a multi-purpose interconnector; or (b) making a multi-purpose interconnector available for use for the and a person is not to be regarded as participating in the operation of an interconnector or as participating in the transmission of electricity by reason only of activities constituting participation in the operation of a multi-purpose (4) In subsection (3D), after “(3C)(b)” insert “and (3CA)(b)”. (5) After subsection (3E) insert— “(3EA) In this Part “multi-purpose interconnector” means so much of an electric line (a) is situated at a place within the jurisdiction of Great Britain; and (i) the conveyance of electricity (whether in both directions or in only one) between Great Britain and a place within the jurisdiction of another country or territory, and

Part 7 – Market reform and consumer protection 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) the conveyance of electricity generated in offshore waters (whether in both directions or in only one) between a generating station and a substation or another generating station, or between two or more substations.” (6) In section 5 of the Electricity Act 1989 (exemptions from prohibition), in subsection (1), after “(d)” insert “, (da)”. (7) Section 6 of the Electricity Act 1989 (licences authorising supply, etc) is amended in accordance with subsections (8) to (10). (a) omit the “or” after paragraph (e); (b) after paragraph (e) insert— “(ea) a licence authorising a person to participate in the operation of a multi-purpose interconnector (“an MPI licence”); or”. (9) After subsection (2A) insert— “(2AA) The same person may not be the holder of an MPI licence and the holder of a licence falling within any of paragraphs (a) to (e) of subsection (1).” (10) After subsection (6D) insert— “(6E) An MPI licence authorising participation in the operation of a multi-purpose (a) must specify the multi-purpose interconnector or multi-purpose interconnectors in relation to which participation is authorised; (b) may limit the forms of participation in the operation of a multi- purpose interconnector which are authorised by the licence.” (11) In section 64(1) of the Electricity Act 1989 (interpretation of Part 1), at the appropriate ““multi-purpose interconnector” has the meaning given by I255 S. 205 not in force at Royal Assent, see s. 334(1) 206 Standard conditions for MPI licences (1) The Secretary of State must, before subsection (6) comes into force, determine standard conditions for MPI licences. (2) Those standard conditions may contain provision— (a) for a standard condition included in an MPI licence not to have effect until brought into operation in such manner, and in such circumstances, as may be specified in or determined under the standard conditions;

Part 7 – Market reform and consumer protection 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) for the effect of a standard condition included in an MPI licence to be suspended in such manner, and in such circumstances, as may be so specified (c) for a standard condition included in such a licence the effect of which is for the time being suspended to be brought back into operation in such manner, and in such circumstances, as may be so specified or determined. (3) The Secretary of State must publish the standard conditions determined by the Secretary of State under this section. (4) The publication must be in such manner as the Secretary of State considers appropriate. (5) The standard conditions determined by the Secretary of State have effect subject to (a) Part 1 of the Electricity Act 1989, (b) section 37 or 45 of the Energy Act 2013, or (6) In section 8A of Electricity Act 1989 (standard conditions of licences), after “(1C) Subject to subsection (2), each condition which by virtue of section 206 of the Energy Act 2023 is a standard condition for the purposes of MPI licences is incorporated, by reference, in each MPI licence granted on or after the day on which subsection (6) of that section comes into force.” (7) In this section, “MPI licence” means a licence under section 6(1)(ea) of the Electricity Act 1989 (inserted by section 205 of this Act). I256 S. 206 not in force at Royal Assent, see s. 334(1) 207 Operation of multi-purpose independence (1) In the italic heading above section 10A of the Electricity Act 1989, after “interconnectors” insert “and multi-purpose interconnectors”. (2) After section 10N of the Electricity Act 1989 insert— “10NA Electricity transmission and the operation of multi-purpose (1) A person who, for any qualifying period, holds an MPI licence and participates in the operation of a multi-purpose interconnector must ensure that the person is certified by the Authority under section 10D throughout that period. (2) Sections 10B to 10N apply for the purposes of subsection (1) as they apply for the purposes of section 10A(3), but as if—

Part 7 – Market reform and consumer protection 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 an electricity interconnector were references to a multi- (b) references to an interconnector licence (or to a licence under section 6(1)(e)) were to an MPI licence (or to a licence under (3) In this section, “qualifying period” means a period beginning on or after the day on which section 207 of the Energy Act 2023 comes into force.” (3) In section 10O(1) of the Electricity Act 1989 (interpretation), for “10N” substitute I257 S. 207 not in force at Royal Assent, see s. 334(1) 208 Grant of MPI licences to existing operators (1) This section applies where a person holds a licence under section 6(1)(e) of the Electricity Act 1989 (interconnector licence) or an offshore transmission licence on the day on which section 205 of this Act comes into force. (2) The Secretary of State has power to grant an MPI licence to that person under section 6 (3) Sections 6A(5), 7 and 8A of the Electricity Act 1989 (notice of licence and licence conditions) have effect in relation to the grant of a licence by the Secretary of State by virtue of this section as if— (a) references in those provisions to the Authority included references to the (i) in subsection (4)(b), the words “the Secretary of State,” were omitted, (ii) subsection (5) were omitted. (4) Before granting a licence to a person by virtue of this section, the Secretary of State (c) such other persons as the Secretary of State considers appropriate. (5) Subsection (4) may be satisfied by consultation before this section comes into force (as well as by consultation after that time).
“MPI licence” means a licence under section 6(1)(ea) of the Electricity Act 1989 (inserted by section 205 of this Act);

Part 7 – Market reform and consumer protection 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) “offshore transmission licence” has the same meaning as in Part 1 of the Electricity Act 1989 (see section 64(1) of that Act). I258 S. 208 not in force at Royal Assent, see s. 334(1) 209 Power to make consequential etc provision (1) The Secretary of State may by regulations make consequential, supplementary, incidental, transitional or saving provision in connection with sections 205 to 208. (2) The provision that may be made by virtue of subsection (1) includes provision amending, repealing or revoking an Act of Parliament or retained direct EU legislation. (3) Before making regulations under subsection (1), the Secretary of State must consult— (b) such other persons as the Secretary of State considers appropriate. (4) Regulations under subsection (1) are subject to the affirmative procedure. I259 S. 209 not in force at Royal Assent, see s. 334(1) I260 S. 209 in force at 10.9.2024 by S.I. 2024/890, reg. 2(c) 210 Consequential amendments relating to multi-purpose interconnectors Schedule 17 contains minor and consequential amendments. I261 S. 210 not in force at Royal Assent, see s. 334(1) Support for energy-intensive industries 211 Electricity support payments for energy-intensive industries (1) The Secretary of State may make regulations requiring payments (“electricity support payments”) to be made to a person who carries out an energy-intensive activity, for the purpose of alleviating the impact on the person of electricity costs. (2) In subsection (1) , “energy-intensive activity” means an activity (or description of activity) that is designated as such in the regulations. (3) The regulations may make provision—

Part 7 – Market reform and consumer protection 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) about the circumstances in which a person is eligible for electricity support (b) about how eligibility is to be considered and determined; (c) setting out a process for applying for electricity support payments, including provision about the form and content of applications; (d) about the calculation of electricity support payments; (e) requiring a person to provide information that is relevant to their eligibility for electricity support payments or to the calculation of any such payments; (f) requiring a person who supplies electricity to another person to provide information that is relevant to the matters mentioned in paragraph (e) (whether to the person to whom the information relates or to another person specified (g) about the sharing of information provided by virtue of paragraph (e) or (f); (h) requiring past electricity support payments to be repaid (with or without interest) in circumstances specified in the regulations; (i) about how amounts repaid by virtue of paragraph (h) are to be applied (including provision for amounts to be held in reserve or paid into the (j) for the enforcement of obligations imposed by or under the regulations (including provision about interest on late payments and imposing financial (k) about the resolution of disputes, including provision about arbitration or appeals (which may in particular include provision for the person conducting an arbitration or determining an appeal to order the payment of costs or (4) Where by virtue of subsection (3)(j) the regulations provide for the imposition of a financial penalty, they must also provide for a right of appeal against the imposition (a) appoint a person, with the person’s consent, to carry out functions in connection with electricity support payments (a “support payment (b) confer functions on the support payment administrator; (c) require the support payment administrator to provide information or assistance to the Secretary of State, or to another person specified in the regulations, in relation to any functions so conferred. (a) the regulations impose a requirement on a regulated person (as defined by section 25(8) of the Electricity Act 1989), (b) the requirement is enforceable by a support payment administrator, and (c) the support payment administrator is the GEMA, the regulations may provide for the requirement to be enforceable by the GEMA as if it were a relevant requirement imposed on the person for the purposes of section 25 (7) The regulations may provide for any sum— (a) that a person is required under the regulations to pay to the Secretary of State or to a support payment administrator, and

Part 7 – Market reform and consumer protection 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) that has not been paid by the date required, to be recoverable from the person as a civil debt due to the Secretary of State or to the support payment administrator (as the case may be). (8) The regulations may make provision about the terms of a support payment administrator’s appointment, including provision— (a) for the support payment administrator to be remunerated, or compensated for (b) about how an appointment may be terminated by the Secretary of State or by the support payment administrator, and when termination takes effect.
(9) If functions of a support payment administrator (“the outgoing administrator”) are to be taken on by another support payment administrator or by the Secretary of State (“the successor”), the regulations may— (a) require the outgoing administrator to take steps specified in the regulations to enable or facilitate the carrying out of those functions by the successor; (b) provide for the transfer of any property, rights or liabilities from the outgoing administrator to the successor; (c) provide for anything done by or in relation to the outgoing administrator in connection with any property, rights or liabilities to be treated as done, or to be continued, by or in relation to the successor. “Property” in this subsection includes interests of any description. (10) Regulations under this section may confer a discretion on the Secretary of State or on a support payment administrator. (11) Regulations under this section are subject to the affirmative procedure. I262 S. 211 in force at 26.12.2023, see s. 334(3)(g) 212 Levy to fund electricity support payments (1) The Secretary of State may make regulations requiring the payment of a levy by electricity suppliers for the purpose of funding— (a) the making of electricity support payments by virtue of section 211 (including (b) any other costs arising by virtue of section 211 or this section (including (2) The regulations may make provision— (a) about the calculation of the levy; (b) requiring electricity suppliers to provide financial collateral in respect of their obligations to pay the levy, and about the form and terms of such collateral; (c) for the issuing of notices to require the payment of the levy or the provision (d) for the provision of copies of such notices to persons specified in the regulations or for the publication of such notices;

Part 7 – Market reform and consumer protection 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) (e) about how amounts of levy are to be applied once paid (including provision for amounts to be held in reserve or paid into the Consolidated Fund); (f) for the recovery of unpaid amounts of levy in the event of the insolvency or default of an electricity supplier (including provision requiring amounts to be borne by other electricity suppliers in accordance with the regulations); (g) requiring electricity suppliers or the GEMA to provide information that is (i) what an electricity supplier’s obligations are in relation to the levy, or (ii) whether an electricity supplier has complied with those obligations; (h) about the sharing of information provided by virtue of paragraph (g); (i) for the enforcement of obligations imposed by or under the regulations (including provision about interest on late payments and imposing financial (j) about the resolution of disputes, including provision about arbitration or appeals (which may in particular include provision for the person conducting an arbitration or determining an appeal to order the payment of costs or (3) Where by virtue of subsection (2)(i) the regulations provide for the imposition of a financial penalty, they must also provide for a right of appeal against the imposition (a) appoint a person, with the person’s consent, to carry out functions in connection with the levy (a “levy administrator”); (b) confer functions on the levy administrator; (c) require the levy administrator to provide information or assistance to the Secretary of State, or to another person specified in the regulations, in relation to any functions so conferred. (a) the regulations impose a requirement on a regulated person (as defined by section 25(8) of the Electricity Act 1989), (b) the requirement is enforceable by a levy administrator, and (c) the levy administrator is the GEMA, the regulations may provide for the requirement to be enforceable by the GEMA as if it were a relevant requirement imposed on the person for the purposes of section 25 (6) The regulations may provide for any sum— (a) that a person is required under the regulations to pay to the Secretary of State or to a levy administrator, and (b) that has not been paid by the date required, to be recoverable from the person as a civil debt due to the Secretary of State or to the levy administrator (as the case may be). (7) The regulations may make provision about the terms of a levy administrator’s appointment, including provision— (a) for the levy administrator to be remunerated, or compensated for costs that

Part 7 – Market reform and consumer protection 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) about how an appointment may be terminated by the Secretary of State or by the levy administrator, and when termination takes effect. (8) If functions of a levy administrator (“the outgoing administrator”) are to be taken on by another levy administrator or by the Secretary of State (“the successor”), the (a) require the outgoing administrator to take steps specified in the regulations to enable or facilitate the carrying out of those functions by the successor; (b) provide for the transfer of any property, rights or liabilities from the outgoing administrator to the successor; (c) provide for anything done by or in relation to the outgoing administrator in connection with any property, rights or liabilities to be treated as done, or to be continued, by or in relation to the successor. “Property” in this subsection includes interests of any description. (9) Regulations under this section may confer a discretion on the Secretary of State or on (10) Regulations under this section are subject to the affirmative procedure. (11) In this section, “electricity supplier” means the holder of a licence under section 6(1) (d) of the Electricity Act 1989.
I263 S. 212 in force at 26.12.2023, see s. 334(3)(g) In section 4 of the Electricity Act 1989 (prohibition on unlicensed generation etc of electricity), after subsection (3) insert— “(3ZA) In subsection (1)(a), the reference to a person who generates electricity includes a reference to a person who generates electricity from stored energy. (3ZB) In subsection (3ZA), “stored energy” means energy that— (a) was converted from electricity, and (b) is stored for the purpose of its future reconversion into electricity.” I264 S. 213 in force at 26.12.2023, see s. 334(3)(g)

Part 7 – Market reform and consumer protection 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) Reduction carbon emissions and home-heating costs 214 Payment as alternative to complying with certain energy company obligations (1) In section 33BC of the Gas Act 1986 (promotion of reductions in carbon gas transporters and gas suppliers), after subsection (7B) insert— “(7C) The order may make provision as to circumstances in which a transporter or supplier may meet the whole or any part of a carbon emissions reduction target (7D) In this section, “buy-out payment” means a payment— (a) of an amount (“the buy-out price”) determined by the Secretary of (b) to a person approved by the Administrator (an “approved person”), (c) for a purpose approved by the Administrator (an “approved (7E) Provision made by virtue of subsection (7C) may include provision about the determination by the Secretary of State of the buy-out price, including (a) enabling the Secretary of State to set different buy-out prices— (i) for different parts of the period to which the order relates; (ii) for different cases (including different buy-out prices for different transporters or suppliers); (b) requiring the Secretary of State to publish the buy-out price. (7F) If the order makes provision by virtue of subsection (7C), the order may also (a) as to the procedure to be followed by the Administrator in approving a person as an approved person or a purpose as an approved purpose; (b) specifying criteria by reference to which the Administrator is to determine whether to approve a person or purpose. (7G) Provision made by virtue of subsection (7C) may include further provision about buy-out payments, including in particular provision— (a) as to the procedure to be followed by a transporter or supplier who proposes to make a buy-out payment, including provision— (i) requiring a transporter or supplier to notify the Administrator of specified matters by a specified time; (ii) as to circumstances in which a transporter or supplier must make the buy-out payment to which notification given to the (iii) about the process for seeking approval of a person as an approved person, or of a purpose as an approved purpose; (b) preventing a transporter or supplier from treating a buy-out payment as a payment pursuant to any other obligation (whether statutory or (c) setting out circumstances in which a requirement imposed on a transporter or supplier by provision made by virtue of subsection (5) (i) met, in whole or in part, by the making of a buy-out payment;

Part 7 – Market reform and consumer protection 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) varied as a result of a buy-out payment; (d) about the effect of provision included in the order by virtue of subsection (7)(c) to (e) on a person’s ability to meet the whole or any part of a carbon emissions reduction target by making a buy-out (7H) Where an order includes provision for the making of a buy-out payment, the references in subsections (5)(be) and (7)(b) to action include a reference to the making of a buy-out payment.” (2) In section 33BCA of the Gas Act 1986 (Scottish Ministers’ promotion of reductions in carbon gas suppliers)— (i) in paragraph (b), after “(7)(a)” insert “, (7C), (7E)”; (ii) after paragraph (c) insert— “(ca) in subsection (7F), for “order makes” is substituted “Secretary of State has made”; (cb) in subsection (7G), for “(7C)” is substituted “(7F)”; (cc) in subsection (7H) , for “an order includes” is substituted “the Secretary of State has made”;”; (iii) in paragraph (g), after “place” insert “other than in (b) in subsection (9)(a), for “or (7)(a)” substitute “, (7)(a), (7C) or (7E)”. (3) In section 33BDA of the Gas Act 1986 (Scottish Ministers’ promotion of reductions in home-heating gas suppliers)— (i) in paragraph (c), after “(7)(a)” insert “, (7C), (7E)”; (ii) after paragraph (d) insert— “(da) in section 33BC(7F) as applied by subsection (4), for “order makes” is substituted “Secretary of State has (db) in section 33BC(7G) as applied by subsection (4), for (dc) in section 33BC(7H) as applied by subsection (4), for “an order includes” is substituted “the Secretary of (iii) in paragraph (h), after “subsection (4)” insert “other than in (b) in subsection (9)(b), for “or (7)(a)” substitute “(7)(a), (7C) or (7E)”. (4) In section 41A of the Electricity Act 1989 (promotion of reductions in carbon electricity distributors and electricity suppliers), after subsection (7B) “(7C) The order may make provision as to circumstances in which a distributor or supplier may meet the whole or any part of a carbon emissions reduction target (7D) In this section, “buy-out payment” means a payment— (a) of an amount (“the buy-out price”) determined by the Secretary of

Part 7 – Market reform and consumer protection Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023.
(See end of Document for details) (b) to a person approved by the Administrator (an “approved person”), (c) for a purpose approved by the Administrator (an “approved (7E) Provision made by virtue of subsection (7C) may include provision about the determination by the Secretary of State of the buy-out price, including (a) enabling the Secretary of State to set different buy-out prices— (i) for different parts of the period to which the order relates; (ii) for different cases (including different buy-out prices for different distributors or suppliers); (b) requiring the Secretary of State to publish the buy-out price. (7F) If the order makes provision by virtue of subsection (7C), the order may also (a) as to the procedure to be followed by the Administrator in approving a person as an approved person or a purpose as an approved purpose; (b) specifying criteria by reference to which the Administrator is to determine whether to approve a person or purpose. (7G) Provision made by virtue of subsection (7C) may include further provision about buy-out payments, including in particular provision— (a) as to the procedure to be followed by a distributor or supplier who proposes to make a buy-out payment, including provision— (i) requiring a distributor or supplier to notify the Administrator of specified matters by a specified time; (ii) as to circumstances in which a distributor or supplier must make the buy-out payment to which notification given to the (iii) about the process for seeking approval of a person as an approved person, or of a purpose as an approved purpose; (b) preventing a distributor or supplier from treating a buy-out payment as a payment pursuant to any other obligation (whether statutory or (c) setting out circumstances in which a requirement imposed on a distributor or supplier by provision made by virtue of subsection (5) (i) met, in whole or in part, by the making of a buy-out payment; (ii) varied as a result of a buy-out payment; (d) about the effect of provision included in the order by virtue of subsection (7)(c) to (e) on a person’s ability to meet the whole or any part of a carbon emissions reduction target by making a buy-out (7H) Where an order includes provision for the making of a buy-out payment, the references in subsections (5)(be) and (7)(b) to action include a reference to the making of a buy-out payment.” (5) In section 41AA of the Electricity Act 1989 (Scottish Ministers’ promotion of reductions in carbon electricity suppliers)—

Part 7 – Market reform and consumer protection 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) in paragraph (b), after “(7)(a)” insert “, (7C), (7E)”; (ii) after paragraph (c) insert— “(ca) in subsection (7F), for “order makes” is substituted “Secretary of State has made”; (cb) in subsection (7G), for “(7C)” is substituted “(7F)”; (cc) in subsection (7H) , for “an order includes” is substituted “the Secretary of State has made”;”; (iii) in paragraph (g), after “place” insert “other than (b) in subsection (9)(a), for “or (7)(a)” substitute “, (7)(a), (7C) or (7E)”. (6) In subsection 41BA of the Electricity Act 1989 (Scottish Ministers’ promotion of reductions in home-heating electricity suppliers)— (i) in paragraph (c), after “(7)(a)” insert “, (7C), (7E)”; (ii) after paragraph (d) insert— “(da) in section 41A(7F) as applied by subsection (4), for “order makes” is substituted “Secretary of State has (db) in section 41A(7G) as applied by subsection (4), for (dc) in section 41A(7H) as applied by subsection (4), for “an order includes” is substituted “the Secretary of (iii) in paragraph (h), after “subsection (4)” insert “other than in (b) in subsection (9)(b), for “or (7)(a)” substitute “, (7)(a), (7C) or (7E)”. I265 S. 214 in force at 26.12.2023, see s. 334(3)(g) 215 Smart extension of time for exercise of powers (1) In section 88(5) of the Energy Act 2008 (expiry of power to amend licence conditions smart meters), for “1 November 2023” substitute “1 November 2028”. (a) in section 8AA(10D) (expiry of provisions requiring proposed transfer of smart meter communication licence to be notified to Secretary of State), for “1 November 2023” substitute “1 November 2028”; (b) in section 41HB(2) (time limit for exercise of power to provide for activities connected with smart meters to be licensable activities), for “1 November 2023” substitute “1 November 2028”. (3) In the Electricity Act 1989—

Chapter 1 – Regulation of heat networks 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 section 7A(10D) (expiry of provisions requiring proposed transfer of smart meter communication licence to be notified to Secretary of State), for “1 November 2023” substitute “1 November 2028”; (b) in section 56FB(2) (time limit for exercise of power to provide for activities connected with smart meters to be licensable activities), for “1 November 2023” substitute “1 November 2028”. (4) Subsections (5) and (6) apply if this section comes into force after 1 November 2023. (5) Section 89(1) of the Energy Act 2008 (duty to consult on modifications) may be satisfied by consultation before, as well as by consultation after, 1 November 2023. (a) on or before 1 November 2023 the Secretary of State has, in accordance with section 89(3) of the Energy Act 2008, laid before Parliament a draft of proposed modifications under section 88 of that Act, and (b) on that date the 40-day period referred to in section 89(4) of that Act has not in calculating that 40-day period no account is to be taken of the period beginning with 2 November 2023 and ending immediately before the day on which this section (7) In the Smart Meters Act 2018, omit section 1.
I266 S. 215 in force at Royal Assent, see s. 334(2)(k) (1) In this Chapter, “relevant heat network” means— (a) a district heat network, or “communal heat network” means a heat network by means of which heating, cooling or hot water is supplied only to a single building divided into separate premises or persons in those premises; “district heat network” means a heat network by means of which heating, cooling or hot water is supplied to two or more buildings or persons in those

Chapter 1 – Regulation of heat networks 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) “heat network” means a network that, by distributing a liquid or a gas, enables the transfer of thermal energy for the purpose of supplying heating, cooling or hot water to a building or persons in that building (and includes any appliance the main purpose of which is to heat or cool the liquid or gas). (3) For the purposes of subsection (2) , a network is not excluded from being a heat network only by reason of its being designed to rely wholly or in part on heat pumps particular to the buildings or premises served by the network. (4) The Secretary of State may by regulations amend this section for the purposes of changing the definitions of “relevant heat network”, “district heat network”, “communal heat network” and “heat network”. (5) Regulations under this section are subject to the affirmative procedure. I267 S. 216 in force at Royal Assent, see s. 334(2)(l) (1) In this Chapter, “the Regulator” means— (a) in relation to England and Wales and Scotland, the GEMA, and (b) in relation to Northern Ireland, the NIAUR. (2) The Secretary of State may by regulations provide for functions of the Regulator in relation to England and Wales and Scotland to be carried out, to the extent specified in the regulations, by a person or body other than the GEMA. (3) The Department may by regulations provide for functions of the Regulator in relation to Northern Ireland to be carried out, to the extent specified in the regulations, by a person or body other than the NIAUR. (4) The Secretary of State may by regulations make such amendments of this Part as appear to the Secretary of State to be appropriate in consequence of provision made by virtue of subsection (2) or (3). (5) The Department may by regulations make such amendments of this Part as appear to the Department to be appropriate in consequence of provision made by virtue (6) Regulations made by the Secretary of State under this section are subject to the (7) The power of the Department to make regulations under this section is exercisable by statutory rule for the purposes of the Statutory Rules (Northern Ireland) Order 1979 (8) Regulations made by the Department under this section may not be made unless a draft of the regulations has been laid before and approved by a resolution of the Northern

Chapter 1 – Regulation of heat networks 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) I268 S. 217 in force at Royal Assent, see s. 334(2)(l) 218 Alternative dispute resolution for consumer disputes (1) The Department may by regulations amend the Alternative Dispute Resolution for Consumer Disputes (Competent Authorities and Information) Regulations 2015 (S.I. 2015/542) so as to provide for a person who, or a body which, from time to time carries out to any extent in relation to Northern Ireland the functions conferred on the Regulator by this Chapter to be a competent authority for the purposes of those (2) The power of the Department to make regulations under this section is exercisable by statutory rule for the purposes of the Statutory Rules (Northern Ireland) Order 1979 (3) Regulations made by the Department under this section may not be made unless a draft of the regulations has been laid before and approved by a resolution of the Northern I269 S. 218 in force at Royal Assent, see s. 334(2)(l) (1) The appropriate authority may by regulations make provision for the purposes of— (a) regulating relevant heat networks, or (b) conferring powers in relation to the development or maintenance of relevant (2) Schedule 18 contains further provision about the power to make regulations under this (3) The provision made in Schedule 18 is without prejudice to the generality of (4) Regulations under this section may— (a) contain such consequential, incidental, supplementary, transitional or saving provisions as the appropriate authority considers appropriate; (b) make different provision for different purposes; (c) provide for a person to exercise discretion in dealing with any matter. (5) Regulations made by the Secretary of State by virtue of subsection (4) (a) may (a) provisions amending or repealing an Act of Parliament, an Act or Measure of Senedd Cymru or Northern Ireland legislation; (b) provisions amending the Heat Networks (Scotland) Act 2021 (asp 9). (6) Regulations made by the Department by virtue of subsection (4) (a) may include provisions amending or repealing Northern Ireland legislation. Chapter 1 – Regulation of heat networks Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (7) Before making any regulations under this section, the appropriate authority is to consult such persons or bodies as it may consider appropriate. (8) It is immaterial for the purposes of subsection (7) whether consultation is carried out before or after the coming into force of this section. (9) In this section “the appropriate authority” means— (a) in relation to England and Wales and Scotland, the Secretary of State; (b) in relation to Northern Ireland, the Department.
I270 S. 219 in force at Royal Assent, see s. 334(2)(l) 220 Regulations made by Secretary of consultation with devolved authorities (1) This section applies where— (a) the Secretary of State proposes to make regulations under section 219 by virtue of any of Parts 3, 4, 5, 7, 8, 10, 11 and 12 of Schedule 18, and (i) in the case of regulations made by virtue of Part 3, 4, 7, 8, 10, 11 or 12 of Schedule 18, provision within Scottish devolved competence; (ii) in the case of regulations made by virtue of Part 5 of Schedule 18, provision within Welsh devolved competence. (2) Before making the regulations, the Secretary of State must give notice— (a) stating that the Secretary of State proposes to make the regulations, (b) setting out or describing— (i) so far as the regulations are made as mentioned in subsection (1)(b)(i), the provision within Scottish devolved competence, (ii) so far as the regulations are made as mentioned in subsection (1) (b)(ii), the provision within Welsh devolved (c) specifying the period (of not less than 28 days from the date on which the notice is given) within which representations may be made with respect to and must consider any representations duly made and not withdrawn. (3) A notice under subsection (2) must be given to each relevant devolved authority, that (a) the Scottish Ministers, if the regulations are made as mentioned in subsection (1) (b)(i) and contain provision within Scottish devolved (b) the Welsh Ministers, if the regulations are made as mentioned in subsection (1) (b)(ii) and contain provision within Welsh devolved (4) The Secretary of State need not wait until the end of the period specified under subsection (2)(c) before making regulations if, before the end of that period, each relevant devolved authority to which the notice was given has confirmed that it has

Chapter 1 – Regulation of heat networks 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) made any representations it intends to make with respect to the provision referred to in subsection (2)(b)(i) or (ii) (as the case may be). (5) The Secretary of State must, if requested to do so by a relevant devolved authority, give the authority a statement setting out whether and how representations made by the authority with respect to the provision referred to in subsection (2)(b)(i) or (ii) (as the case may be) have been taken into account in the regulations. (6) For the purposes of this section, provision— (a) is within Scottish devolved competence if it would be within the legislative competence of the Scottish Parliament if it were contained in an Act of that (b) is within Welsh devolved competence if it would be within the legislative competence of Senedd Cymru if it were contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown imposed under Schedule 7B to the Government of Wales Act 2006). I271 S. 220 in force at Royal Assent, see s. 334(2)(l) 221 Heat networks other provision about procedure (1) The first regulations to be made by the Secretary of State under section 219 are subject (2) The following regulations made by the Secretary of State are also subject to the (a) regulations under section 219 which are made by virtue of— (i) paragraph 12(1) of Schedule 18, (ii) paragraph 23(1) of Schedule 18, (iii) paragraph 32 of Schedule 18, (iv) any provision of Part 8 or 9 of Schedule 18, or (v) paragraph 56 of Schedule 18; (b) regulations under section 219 which create an offence or provide for an increase in the penalty for an existing offence; (c) regulations under section 219 which amend or repeal any provision of legislation mentioned in section 219(5). (3) Any other regulations made by the Secretary of State under section 219 are subject (4) The power of the Department to make regulations under section 219 is exercisable by statutory rule for the purposes of the Statutory Rules (Northern Ireland) Order 1979 (5) The first regulations to be made by the Department under section 219 may not be made unless a draft of the regulations has been laid before and approved by a resolution of the Northern Ireland Assembly. (6) Regulations made by the Department under section 219 containing any of the following regulations (whether alone or with other regulations) may not be made

Chapter 1 – Regulation of heat networks 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) unless a draft of the regulations has been laid before and approved by a resolution of the Northern Ireland Assembly— (a) regulations under section 219 which are made by virtue of— (i) paragraph 12(1) of Schedule 18, (ii) paragraph 32 of Schedule 18, (iii) any provision of Part 8 or 9 of Schedule 18, or (iv) paragraph 56 of Schedule 18; (b) regulations under section 219 which create an offence or provide for an increase in the penalty for an existing offence; (c) regulations under section 219 which amend or repeal any provision of (7) Any other regulations made by the Department under section 219 are subject to negative resolution within the meaning of section 41(6) of the Interpretation Act (Northern Ireland) 1954 (c. 33 (N.I.)). I272 S. 221 in force at Royal Assent, see s. 334(2)(l) 222 Recovery of costs by GEMA and NIAUR (1) The conditions of a licence under section 7, 7ZA, 7A or 7AB of the Gas Act 1986 or section 6 of the Electricity Act 1989 may require payment by the licence holder of sums relating to costs within subsection (2).
(2) The costs within this subsection are— (i) under regulations made under section 219, or (ii) in its capacity as the licensing authority for the purposes of the Heat Networks (Scotland) Act 2021 (asp 9), if the GEMA is designated as such under section 223(1) of this Act, (b) costs of a person other than the GEMA in carrying out, by virtue of section 217(2) or paragraph 5 of Schedule 18, functions of the Regulator, (c) costs of holders of licences issued under Part 4 of Schedule 18 (code manager (d) costs incurred by the Secretary of State in giving financial assistance under regulations made by virtue of paragraph 50 of Schedule 18 (special (e) costs incurred by a person or body in providing, or arranging for the provision of, consumer advocacy and advice in relation to heat network consumers, and (f) costs not within any of paragraphs (a) to (e) incurred by a person in exercising a function in relation to heat networks in England, Wales or Scotland (whether by virtue of regulations under section 219 or otherwise). (3) The conditions of a licence under Article 8 of the Gas (Northern Ireland) Order 1996 (S.I. 1996/275 (N.I. 2)) or Article 10 of the Electricity (Northern Ireland) Order 1992 (S.I. 1992/231 (N.I. 1)) may require payment by the licence holder of sums relating to costs within subsection (4). (4) The costs within this subsection are—

Chapter 1 – Regulation of heat networks 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) costs of the NIAUR under regulations made under section 219, (b) costs of a person other than the NIAUR in carrying out, by virtue of section 217(3) or paragraph 5 of Schedule 18, functions of the Regulator, (c) costs incurred by the Department in giving financial assistance under regulations made by virtue of paragraph 50 of Schedule 18 (special (d) costs incurred by a person or body in providing, or arranging for the provision of, consumer advocacy and advice in relation to heat network consumers, and (e) costs not within any of paragraphs (a) to (d) incurred by a person in exercising a function in relation to heat networks in Northern Ireland (whether by virtue of regulations under section 219 or otherwise). I273 S. 222 in force at Royal Assent, see s. 334(2)(l) 223 Heat licensing authority in Scotland (1) The Secretary of State may by regulations designate the GEMA as the licensing authority for the purposes of the Heat Networks (Scotland) Act 2021 (asp 9). (2) Regulations under subsection (1) are subject to the affirmative procedure. (3) In section 4 of the Heat Networks (Scotland) Act 2021 (meaning of “licensing (a) at the beginning insert “(1)”; (b) after the subsection (1) so formed insert— “(2) Subsection (1) is subject to subsection (3). (3) If the Secretary of State designates the Gas and Electricity Markets Authority as the licensing authority for the purposes of this Act by regulations under section 223(1) of the Energy Act 2023, references in this Act to the licensing authority are references to the Gas and Electricity Markets Authority.” I274 S. 223 in force at Royal Assent, see s. 334(2)(l) 224 Heat enforcement in Scotland (1) The Secretary of State may by regulations amend the Heat Networks (Scotland) Act 2021 for the purpose of making provision about monitoring compliance with, or enforcement of, conditions of heat networks licences issued under section 5(5) of that (2) Regulations under this section may, in particular, make provision corresponding to the provision described in paragraphs 6 to 10, 37 to 40, 43, 72 and 73 of Schedule 18. (3) Regulations under this section must provide for an offence created by the

Chapter 2 – Heat network zones 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) to be triable only summarily, and (b) to be punishable on conviction with imprisonment for a period not exceeding 3 months or a fine not exceeding level 1 on the standard scale (or both). (4) The Secretary of State may make regulations under this section only if the Secretary of State has also made regulations under section 223(1) (and those regulations are still (5) Regulations under this section are subject to the affirmative procedure. I275 S. 224 in force at Royal Assent, see s. 334(2)(l) 225 Interpretation of Chapter 1 “the Department” means the Department for the Economy in Northern “heat network” has the meaning given by section 216; “the NIAUR” means the Northern Ireland Authority for Utility Regulation; “the Regulator” has the meaning given by section 217; “relevant heat network” has the meaning given by section 216. I276 S. 225 in force at Royal Assent, see s. 334(2)(l) 226 Regulations about heat network zones (1) The Secretary of State may by regulations make provision about heat network zones (2) A heat network zone is an area in England that is designated as such under zones regulations by virtue of being appropriate for the construction and operation of one or more district heat networks. (3) The provision made by this Chapter is without prejudice to the generality (4) Subject to subsection (5), zones regulations are subject to the affirmative procedure. Chapter 2 – Heat network zones 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) Zones regulations which make provision of the kind described in section 229(1)(c) or (4)(c) or 230(2)(c) or (4) (and no other provision) are subject to the negative (6) If, apart from this section, a draft of an instrument containing zones regulations would be treated for the purposes of the standing orders of either House of Parliament as a hybrid instrument, it is to proceed in that House as if it were not such an instrument. I277 S. 226 in force at Royal Assent, see s. 334(2)(l) Heat Network Zones Authority and zone coordinators 227 Heat Network Zones Authority (1) Zones regulations may designate a person to act as the Heat Network Zones Authority (referred to in this Chapter as “the Authority”). (2) The purpose of the Authority is to carry out functions in relation to heat network zones conferred on it by zones regulations. (3) The Secretary of State may, but need not, be designated for the purposes (4) Zones regulations may provide for the Authority to delegate any of its functions to persons specified in the regulations. I278 S. 227 in force at Royal Assent, see s. 334(2)(l) (1) Zones regulations may make provision about zone coordinators. (2) The purpose of zone coordinators is to carry out functions conferred on them by zones regulations in relation to particular heat network zones. (3) Regulations made by virtue of subsection (1) may— (a) make provision for, or in connection with, the designation of a person as a zone coordinator by a local authority for its area, or a part or parts of its area (including the local authority designating itself); (b) make provision for, or in connection with, the designation of a person as a zone coordinator by two or more local authorities for their areas or parts of their areas (including the local authorities designating one of themselves); (c) make provision for, or in connection with, the establishment of a body by one or more local authorities which is intended to be designated as a zone coordinator in accordance with regulations made by virtue of paragraph (a) (d) make provision about the funding of zone coordinators;

Chapter 2 – Heat network zones 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) (e) make provision about the governance of zone coordinators; (f) make provision about zone coordinators cooperating with the Regulator in relation to zone coordinators’ functions or the Regulator’s functions; (g) make provision for the Authority to perform any function of a zone coordinator in circumstances, and subject to requirements, specified by the (h) make provision for the Authority to direct a zone coordinator to perform any of its functions in the manner the Authority considers appropriate in circumstances, and subject to requirements, specified by the regulations. (4) Regulations made by virtue of subsection (3)(a) and (b) may make provision for the (a) to require a local authority, or two or more local authorities, to designate a person as a zone coordinator in circumstances, and subject to requirements, (b) to designate a person as a zone coordinator where a local authority (or local authorities) fail to comply with a requirement imposed by virtue of (5) In this section, “local authority” means— (a) a county, district or parish council in England; (c) the Common Council of the City of London; (d) the Council of the Isles of Scilly; (e) a combined authority established under section 103 of the Local Democracy, Economic Development and Construction Act 2009; (f) another body or person specified by zones regulations. I279 S. 228 in force at Royal Assent, see s. 334(2)(l) Identification, designation and review of zones 229 Identification, designation and review of zones (1) Zones regulations may make provision for, or in connection with— (a) the identification by the Authority and zone coordinators of areas which are appropriate for the construction and operation of one or more district heat (b) the designation of those areas as heat network zones by zone coordinators or (c) the review by zone coordinators, or the Authority, of the designation of areas (2) Regulations made by virtue of subsection (1) (a) must require the identification of areas to be carried out in accordance with the zoning methodology established (3) Regulations made by virtue of subsection (1)(b) may—

Chapter 2 – Heat network zones 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) make provision about the variation or revocation of designations by zone coordinators or the Authority; (b) make provision about procedure; (c) make provision about the publication of designations (and the variation or (d) require zone coordinators to notify the Authority of designations (and the variation or revocation of designations); (e) make provision for, or in connection with, the maintenance by the Authority of a register of areas designated as heat network zones. (4) Regulations made by virtue of subsection (3)(a) may, in particular— (a) specify the circumstances in which a zone coordinator or the Authority may (b) specify the factors a zone coordinator or the Authority may or must take into consideration in determining whether to vary or revoke a designation; (c) impose on zone coordinators or the Authority requirements as to consultation. (5) Regulations made by virtue of subsection (1)(c) may— (a) make provision about the circumstances in which reviews must be carried out (b) set out the criteria against which the designation of areas as heat network (c) impose on zone coordinators or the Authority requirements as to consultation; (d) make provision requiring reports of reviews to be published.
I280 S. 229 in force at Royal Assent, see s. 334(2)(l) (1) Zones regulations may make provision for a methodology (to be known as “the zoning methodology”) for the Authority and zone coordinators to identify areas which are appropriate for the construction and operation of one or more district heat networks. (2) Regulations made by virtue of subsection (1) may include in the zoning (a) the criteria for determining whether an area is appropriate; (b) the roles of the Authority and zone coordinators; (c) requirements as to consultation; (d) provision about how the identification of areas is to be recorded, including provision about the use of maps; (e) requirements as to publication of areas which have been identified. (3) Zones regulations may make provision for the Authority to issue guidance in relation (4) Zones regulations may make provision about the Secretary of State carrying out reviews of the zoning methodology. (5) Regulations made by virtue of subsection (4) may—

Chapter 2 – Heat network zones 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) make provision about the circumstances in which reviews must be carried out (b) set out the criteria against which the zoning methodology is to be reviewed; (c) impose on the Secretary of State requirements as to consultation; (d) make provision for the Authority or zone coordinators to consult persons on behalf of the Secretary of State; (e) make provision requiring reports of reviews to be published. I281 S. 230 in force at Royal Assent, see s. 334(2)(l) 231 Requests for information in connection with section 229 or 230 (1) Zones regulations may make provision about the Authority and zone coordinators requesting information in connection with their functions under regulations made by (2) Regulations made by virtue of subsection (1) may provide for— (a) the Authority or a zone coordinator to request information by notice from a person of a description specified in the regulations; (b) the requested information to be provided within the period, and in the form and manner, specified in the notice; (c) the Authority or zone coordinator to impose a penalty on a person for not (d) the disclosing of information requested by the zone coordinator not to breach any obligation of confidence owed by the person making the disclosure or any other restriction on the disclosure of information (however imposed); (e) a request for information not to require a disclosure of information if disclosure would contravene the data protection legislation (but for a requirement imposed by virtue of regulations made by virtue of subsection (1) to be taken into account in determining whether a disclosure would do so); (f) zone coordinators to delegate functions conferred on them by regulations made by virtue of subsection (1) to a description of person, and in the circumstances and subject to the conditions, specified by the regulations. I282 S. 231 in force at Royal Assent, see s. 334(2)(l) 232 Heat networks within zones (1) Zones regulations may make provision about heat networks within heat network (2) Regulations made by virtue of subsection (1) may, in particular—

Chapter 2 – Heat network zones 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) make provision imposing requirements on persons of a description specified in the regulations for the purpose of securing that buildings of types specified by the regulations situated within a heat network zone are connected to a district heat network within the zone— (i) in circumstances specified by the regulations, and (ii) within a time specified by, or determined in accordance with, the (b) make provision about zone coordinators giving notice of requirements imposed by regulations made by virtue of paragraph (a) to persons on whom (c) make provision about the grant by zone coordinators of exemptions from requirements imposed by regulations made by virtue of paragraph (a); (d) make provision imposing requirements on persons of a description specified in the regulations for the purpose of securing that buildings of types specified by the regulations situated within a heat network zone are installed with (i) in circumstances specified by the regulations, (ii) within a time specified by, or determined in accordance with, the (iii) in a manner that would allow the communal heat networks to be connected to a district heat network; (e) make provision for, or in connection with, the requesting of information from a person, by notice given by a zone coordinator, about a source of thermal energy located on the person’s premises that may be suitable to supply a district heat network within a heat network zone; (f) make provision for, or in connection with, the imposition of a requirement on a person, by notice given by a zone coordinator, to allow the installation of equipment on the person’s premises, and the connection of that equipment to a district heat network, to enable a source of thermal energy located on the premises to supply a district heat network within a heat network zone; (g) make provision imposing requirements on persons of a description specified in the regulations for the purpose of securing that machinery and other equipment of types specified by the regulations are designed, and installed on premises, in a manner which would enable thermal energy generated by the machinery or other equipment to be supplied to a district heat network within (h) make provision about the terms on which thermal energy is supplied to a district heat network in pursuance of regulations made by virtue of paragraph (f) or (g) (including in particular provision about the amount that (i) make provision for, or in connection with, the setting by zone coordinators of limits on emissions of targeted greenhouse gases resulting from district heat networks within heat network zones; (j) make provision about zone coordinators affording a grace period to a person who is required to comply with a limit imposed under regulations made by (3) Regulations made by virtue of subsection (2)(c) may— (a) specify the criteria in accordance with which a zone coordinator is to determine an application for an exemption;

Chapter 2 – Heat network zones 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 provision about procedure; (c) specify how, and on what grounds, a refusal to grant an exemption may be (4) Regulations made by virtue of subsection (2)(e) may— (a) specify the information about the source of thermal energy that may be (b) require the requested information to be provided within the period, and in the form and manner, specified in the notice; (c) provide for the disclosing of information requested by the zone coordinator not to breach any obligation of confidence owed by the person making the disclosure or any other restriction on the disclosure of information (however (d) provide for a request for information not to require a disclosure of information if disclosure would contravene the data protection legislation (but for a requirement imposed by virtue of regulations made by virtue of subsection (2) (e) to be taken into account in determining whether a (e) provide for zone coordinators to delegate functions conferred on them by regulations made by virtue of subsection (2)(e) to a description of person, and in circumstances and subject to conditions, specified by the regulations. (5) Regulations made by virtue of subsection (2)(f) may— (a) specify the types of sources of thermal energy in respect of which a zone coordinator may or must impose a requirement on a person and in what (b) make provision about the period within which a person must comply with a (c) specify how, and on what grounds, a requirement imposed on a person in respect of a source of thermal energy may be appealed. (6) Regulations made by virtue of subsection (2)(i) may— (a) specify the manner and form in which the limits are to be set; (b) require zone coordinators to obtain the consent of the Authority before setting (7) Regulations made by virtue of subsection (2)(j) may— (a) specify the circumstances in which a zone coordinator may or must afford a (b) make provision for the Authority to issue guidance about grace periods; (c) make provision about procedure; (d) specify how, and on what grounds, a refusal to grant a grace period may be (8) In subsection (2) (d), “communal heat network” has the meaning given (9) In subsection (2) (i), “emissions” and “targeted greenhouse gas” have the same meaning as in the Climate Change Act 2008 (see sections 24 and 97 of that Act). (10) In subsections (2) (j) and (7), “grace period” means a period to comply before

Chapter 2 – Heat network zones 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) I283 S. 232 in force at Royal Assent, see s. 334(2)(l) 233 Delivery of district heat networks within zones (1) Zones regulations may make provision about the delivery of district heat networks (2) Regulations made by virtue of subsection (1) may, in particular— (a) make provision about zone coordinators deciding— (i) what district heat networks may be constructed and operated within (ii) who will design, construct, operate and maintain district heat networks within heat network zones; (b) make provision about zone coordinators designing, constructing, operating or maintaining district heat networks within heat network zones, or arranging for their design, construction, operation or maintenance; (c) make provision about the giving of advice by the Authority to zone coordinators about the delivery of district heat networks within heat network (3) Regulations made by virtue of subsection (2)(a)(ii) may— (a) make provision for the construction, operation or maintenance of district heat networks within heat network zones to be subject to the consent of zone (b) make provision for the grant by zone coordinators of an exclusive right to design, construct, operate or maintain district heat networks within heat network zones or parts of heat network zones. (4) Regulations made by virtue of subsection (3)(b) may— (a) make provision for the Authority to publish the standard conditions that zone coordinators must use when granting an exclusive right (and for the Authority to amend or replace the standard conditions); (b) specify the circumstances in which zone coordinators may grant an exclusive (5) Regulations made by virtue of subsection (2)(a) may— (a) specify the manner and form of zone coordinators’ decisions under regulations made by virtue of subsection (2)(a); (b) make provision for a zone coordinator to vary or revoke a decision; (c) specify considerations a zone coordinator may or must take into account when making, varying or revoking a decision; (d) make provision about procedure; (e) make provision about the publication of a decision (or the variation or (f) specify how, and on what grounds, a decision, or a variation or revocation of (g) make provision for a zone coordinator to lose the power to decide the matters specified in subsection (2)(a)(i) and (ii), and instead for those matters to no

Chapter 2 – Heat network zones 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) longer be subject to the zone coordinator’s control, if the zone coordinator does not take steps specified by the regulations within a time specified by the I284 S. 233 in force at Royal Assent, see s. 334(2)(l) 234 Enforcement of heat network zone requirements (1) Zones regulations may make provision about the enforcement of heat network zone (2) Regulations made by virtue of subsection (1) may, in particular, provide for a zone (a) to issue a notice requiring a person to demonstrate compliance with a heat network zone requirement where the zone coordinator suspects that the person is not complying with the requirement; (b) to issue a notice specifying steps a person is required to take in order to comply with a heat network zone requirement where the zone coordinator is satisfied that the person is not complying with the requirement; (c) to impose a penalty on a person for the contravention of— (i) a heat network zone requirement, or (ii) a requirement imposed by a notice under regulations made by virtue (3) Regulations made by virtue of subsection (2)(a) or (b) may— (a) make provision about the period within which a person must comply with a (b) make provision about procedure; (c) specify how, and on what grounds, a notice may be appealed. (4) In this section, “heat network zone requirement” means a requirement imposed by or by virtue of regulations made by virtue of section 232 or 233. I285 S. 234 in force at Royal Assent, see s. 334(2)(l) (1) Zones regulations made by virtue of section 231(2)(c) or 234(2)(c) may— (a) make provision about the maximum amount that may be imposed by way of (b) make provision about procedure; (c) specify how a penalty may be recovered;

Chapter 2 – Heat network zones Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (d) require sums received by way of penalty to be paid into the Consolidated Fund or to persons specified by the regulations. (2) Zones regulations made by virtue of section 231 (2)(c) or 234(2)(c) must include provision for a right of appeal against the imposition of a penalty. (3) Zones regulations may provide for the publication of guidance by the Authority with (a) the imposition of penalties under regulations made by virtue of section 231(2)(c) or 234(2)(c), and (b) the determination of their amount. I286 S. 235 in force at Royal Assent, see s. 334(2)(l) Records, information and reporting 236 Records, information and reporting (1) Zones regulations may make provision requiring zone coordinators to collect information specified by the regulations which— (a) is relevant to identifying areas which are appropriate for the construction and operation of one or more district heat networks, or (b) relates to areas designated as heat network zones.
(2) Zones regulations may make provision requiring zone coordinators to maintain (a) information provided to zone coordinators in response to requests for information made by zone coordinators under regulations made by virtue (b) information zone coordinators are required to collect by regulations made by virtue of subsection (1) of this section; (c) other information provided to, collected by, or otherwise brought into the possession of zone coordinators by virtue of their functions under zones (3) Zones regulations may make provision enabling or requiring zone coordinators to provide information specified by the regulations from their records to— (a) to other zone coordinators; (4) Zone regulations may require the Authority to maintain records of— (a) information provided to the Authority in response to requests for information made by the Authority under regulations made by virtue of section 231; (b) information provided by zone coordinators to the Authority in accordance with regulations made by virtue of subsection (3) of this section; (c) other information provided to, collected by, or otherwise brought into the possession of the Authority by virtue of its functions under zones regulations. Chapter 2 – Heat network zones 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) Zones regulations may make provision enabling or requiring the Authority to provide information specified by the regulations from its records to— (6) Zones regulations may make provision— (a) for the disclosure of information by a zone coordinator or the Authority in accordance with regulations made by virtue of subsection (3) or (5) not to breach any obligation of confidence owed by the zone coordinator or the Authority or any other restriction on the disclosure of information (however (b) for regulations made by virtue of subsection (3) or (5) not to authorise or require disclosure of information if disclosure would contravene the data protection legislation (but for a power conferred, or requirement imposed, by regulations made by virtue of subsection (3) or (5) to be taken into account in determining whether a disclosure would do so). I287 S. 236 in force at Royal Assent, see s. 334(2)(l) 237 Interpretation of Chapter 2 “the Authority” means the person designated as the Heat Network Zones Authority by regulations made by virtue of section 227(1); “the data protection legislation” has the same meaning as in the Data Protection Act 2018 (see section 3 of that Act); “district heat network” has the meaning given by section 216(2); “heat network” has the meaning given by section 216(2); “heat network zone” has the meaning given by section 226(2); “the Regulator” has the meaning given by section 217(1)(a); “zone coordinator” means a person designated as such under regulations made by virtue of section 228(3)(a); “zones regulations” means regulations under section 226; “the zoning methodology” has the meaning given by section 230(1). I288 S. 237 in force at Royal Assent, see s. 334(2)(l)

Part 9 – Energy smart appliances and load control 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) 238 Energy smart appliances and load control (1) The following definitions apply for the purposes of this Part. (2) “Energy smart appliance” means an appliance which is capable of adjusting the immediate or future flow of electricity into or out of itself or another appliance in response to a load control signal; and includes any software or other systems which enable or facilitate the adjustment to be made in response to the signal. (3) The functionality described in subsection (2) is referred to as the “energy smart (4) “Load control signal” means a digital communication sent via a relevant electronic communications network to an energy smart appliance for the purpose of causing or otherwise facilitating such an adjustment. (5) For the purposes of subsection (2) an adjustment to the flow of electricity into or out of an appliance is made in response to a load control signal whether it is made in (a) the sending of the signal, or (b) the sending of the signal and one or more additional factors. (6) The sending of a load control signal to an energy smart appliance is referred to as (7) Regulations under section 239 , excluding regulations under section 239 (6), are referred to as “energy smart regulations”. I289 S. 238 not in force at Royal Assent, see s. 334(1) I290 S. 238 in force at 11.1.2024 by S.I. 2024/32, reg. 2(b)(i) (1) The Secretary of State may by regulations make provision about energy smart (a) capable of being used in connection with any of the purposes specified

Part 9 – Energy smart appliances and load control Chapter 2 – Energy smart appliances 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) charge points (for electric vehicles). (2) The specified purposes are— (c) washing or drying textiles; (i) was converted from electricity, and (ii) is stored for the purpose of its future reconversion into electricity; (f) air conditioning or ventilation. (3) In making such regulations, the Secretary of State must, in particular, have regard to the desirability of ensuring that— (a) the energy smart function or compatibility with that function is incorporated into appliances in a manner that is compliant with the regulations, (b) the energy smart function does not undermine the delivery of a consistent and (c) the energy smart function in any energy smart appliance is capable of operating in response to load control signals from any person carrying out (d) communications, software, systems and personal and other data used in connection with energy smart appliances are secure or otherwise protected, for purposes including the protection of end-users.
(4) Such regulations may, in particular— (a) make provision about all energy smart appliances or any description of energy (b) impose technical or other requirements in relation to such appliances, including requirements to display or otherwise provide information about (c) prohibit the placing on the market of, or other activities in connection with, relevant appliances (see section 240(3)); (d) make provision about the recall of appliances to prevent, or in response to, non-compliance with the regulations; (e) make provision for the Secretary of State to issue guidance about prohibitions or requirements imposed by or under the regulations; (f) provide for the enforcement of the regulations. (5) Such regulations may impose prohibitions or requirements on any person, including any person making, supplying, importing or distributing energy smart appliances or carrying out load control (but see section 240(6)). (6) The Secretary of State may by regulations— (a) make provision about the meaning that “relevant electronic communications network” is to have for the purposes of this Part; (b) amend the list of purposes in subsection (2). (7) In this Chapter, “charge point” has the same meaning as in Part 2 of the Automated and Electric Vehicles Act 2018 (see section 9 of that Act). Part 9 – Energy smart appliances and load control Chapter 2 – Energy smart appliances 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) I291 S. 239 not in force at Royal Assent, see s. 334(1) I292 S. 239 in force at 11.1.2024 by S.I. 2024/32, reg. 2(b)(ii) 240 Prohibitions and supplemental (1) Requirements imposed by energy smart regulations may, in particular, refer or relate (a) published documents and standards (as they have effect from time to time); (b) a list, published by the Secretary of State, of such documents and standards; (c) requirements (however described) imposed by or under any enactment or Act (2) Prohibitions imposed by energy smart regulations may, in particular, relate to— (a) the providing of load control for appliances that are not compliant with the (b) the modification of appliances in a manner that would cause them to cease to be compliant with the regulations. (3) The following kinds of appliances are “relevant appliances” for the purposes (a) energy smart appliances that are not compliant with requirements or particular requirements of energy smart regulations; (b) appliances without the energy smart function, or that are not compatible with the energy smart function of another appliance, and are— (i) charge points (for electric vehicles), or (ii) electrical heating appliances. (4) The reference in subsection (3) (b)(ii) to electrical heating appliances includes a (5) In this Chapter, “modification of appliances” has the meaning given by energy smart (6) Energy smart regulations may not provide for a prohibition to be contravened by an end-user of an appliance (in their capacity as such) or for such a person to be enforced against as described in section 241 or 242. I293 S. 240 not in force at Royal Assent, see s. 334(1) I294 S. 240 in force at 11.1.2024 by S.I. 2024/32, reg. 2(b)(ii) (1) Provision for the enforcement of energy smart regulations may, in particular, include provision of a kind described in this section, section 242 or section 243. (2) Energy smart regulations may include provision to ensure compliance with any prohibition or requirement imposed by or under the regulations, including provision—

Part 9 – Energy smart appliances and load control Chapter 2 – Energy smart appliances 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) designating authorities to carry out enforcement (referred to in this Chapter as “enforcement authorities”); (ii) monitor compliance and report non-compliance; (iii) take specified steps to remedy non-compliance; (c) requiring persons to supply evidence of their compliance to enforcement (d) conferring powers of entry, including by reasonable force; (e) conferring powers of inspection, search and seizure; (f) conferring powers to require the production of information or things held at, or electronically accessible from, entered premises; (g) conferring powers to enable the testing of energy smart appliances by enforcement authorities, including powers to require the provision of sample appliances and powers to make test purchases; (h) conferring functions, including functions involving the exercise of a (3) Regulations conferring powers described in subsection (2)(d), (e) or (f) must provide that persons exercising those powers are to produce evidence of their authority if (4) The regulations may not allow entry to premises by reasonable force without a warrant issued by a justice of the peace or, in Scotland, a sheriff or summary sheriff. (5) Energy smart regulations may allow enforcement authorities to impose requirements by written notice on persons to— (a) produce information or things; (b) make appliances compliant with energy smart regulations; (i) the placing on the market of, or other activities in connection with, (ii) the providing of load control to appliances, or (iii) the modification of appliances, for the purpose of preventing or mitigating non-compliance with energy smart (d) recall appliances to prevent, or in response to, non-compliance with energy (6) Regulations that allow an enforcement authority to impose requirements may also (a) the authority to apply to a court or tribunal in connection with a failure to comply with a requirement, and (b) the court or tribunal, if satisfied that such a failure has occurred, to make an order for the purpose of securing compliance with the requirement. (7) Such an order may require a person to take, or refrain from taking, steps specified in the order (including at, by or until specified times).
(8) Energy smart regulations may make provision to enable an enforcement authority to accept an enforcement undertaking from a person where the authority has reasonable

Part 9 – Energy smart appliances and load control Chapter 2 – Energy smart appliances 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) grounds to suspect that the person has failed to comply with any prohibition or requirement imposed by or under the regulations. (9) An “enforcement undertaking” is an undertaking to take such action to secure compliance with the regulations as may be specified in the undertaking within such period as may be so specified. (10) Provision made by virtue of subsection (8) must include provision that unless the person from whom the undertaking was accepted has failed to comply with the undertaking or any part of it— (a) that person may not at any time be convicted of an offence in respect of the act or omission to which the undertaking relates, and (b) the enforcement authority may not impose on that person any penalty which it would otherwise have power to impose under the regulations in respect of (11) Provision made by virtue of subsection (8) may include any provision of a kind mentioned in section 50(5) of the Regulatory Enforcement and Sanctions Act 2008. (12) The Secretary of State may make payments or provide other resources to, or in respect of, enforcement authorities in connection with the exercise of functions under energy (13) Energy smart regulations may provide for an enforcement authority to issue guidance about the enforcement of the regulations and the exercise by the authority of its functions under the regulations. I295 S. 241 not in force at Royal Assent, see s. 334(1) I296 S. 241 in force at 11.1.2024 by S.I. 2024/32, reg. 2(b)(ii) 242 Sanctions, offences and recovery of costs (1) Energy smart regulations may provide for sanctions to be imposed on persons in (a) non-compliance with a prohibition or requirement imposed by or under such (b) providing false or misleading information in relation to any such prohibition (2) The regulations may, in particular, provide for the imposition of civil penalties, including graduated or multiple penalties in connection with a continuous or serious (3) Energy smart regulations may create offences relating to— (a) contraventions (by act or omission) of requirements imposed by enforcement (b) knowingly giving false or misleading information to enforcement authorities; (c) the obstruction (by act or omission) of persons acting on behalf of enforcement (d) the impersonation of persons acting on behalf of enforcement authorities. Part 9 – Energy smart appliances and load control Chapter 2 – Energy smart appliances 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) Regulations which create an offence must provide for the offence to be triable only (5) Regulations may not provide for an offence to be punishable with imprisonment. (6) Regulations may provide for enforcement authorities to recover costs. I297 S. 242 not in force at Royal Assent, see s. 334(1) I298 S. 242 in force at 11.1.2024 by S.I. 2024/32, reg. 2(b)(ii) 243 Appeals against enforcement action (1) Energy smart regulations that provide for the imposition of a requirement or civil penalty by an enforcement authority must include provision for a right of appeal to a court or tribunal against that requirement or penalty. (2) Provision falling within subsection (1) includes, in particular, provision— (a) as to the jurisdiction of the court or tribunal to which an appeal may be made; (b) as to the grounds on which an appeal may be made; (c) as to the procedure for making an appeal (including any fee which may be (d) suspending the imposition of the requirement or penalty, pending (e) as to the powers of the court or tribunal to which an appeal is made; (f) as to how any sum payable in pursuance of a decision of the court or tribunal (3) In relation to the imposition of a requirement, the regulations may provide for persons other than the person against whom the requirement was imposed to also have a right (4) The provision referred to in subsection (2)(e) includes provision conferring on the court or tribunal to which an appeal is made power— (a) to confirm or withdraw the requirement or penalty; (b) to vary or remove a part of the requirement; (c) to vary the amount of the penalty; (d) to award costs or, in Scotland, expenses. (5) If the Secretary of State considers it appropriate for the purpose of, or in consequence of, any provision falling within subsection (2)(a), (c), (e) or (f), the regulations may revoke or amend any subordinate legislation. (6) In this section “subordinate legislation” has the meaning given in section 21(1) of the Interpretation Act 1978 and includes an instrument made under— (a) an Act of the Scottish Parliament; (b) a Measure or Act of the Senedd Cymru. Part 9 – Energy smart appliances and load control Chapter 2 – Energy smart appliances 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) I299 S. 243 not in force at Royal Assent, see s. 334(1) I300 S. 243 in force at 11.1.2024 by S.I. 2024/32, reg. 2(b)(ii) 244 procedure and supplemental (1) Regulations under section 239 may provide for exemptions or exceptions. (2) Energy smart regulations may make provision about the sharing of information between an enforcement authority and the GEMA for the purposes of their functions in relation to energy smart appliances and load control.
(3) The Secretary of State must consult such persons as the Secretary of State thinks fit before making regulations under section 239 that— (a) make a description of appliance subject to energy smart regulations; (b) amend the list of purposes in section 239(2). (4) Subsection (3) may be satisfied by consultation before, as well as by consultation after, (5) The first energy smart regulations, and any regulations under section 239 that (with or without other provision) amend the list of purposes in section 239(2) or create a criminal offence (see section 242), are subject to the affirmative procedure. (6) Energy smart regulations that are not within subsection (5) are subject to the made affirmative procedure if they— (a) are the first energy smart regulations to make provision about a particular description of energy smart appliance, (b) make provision by virtue of section 239(4)(b) imposing requirements of a kind not previously imposed by energy smart regulations, (c) make provision by virtue of section 240(1)(a) or (b) by reference or in relation to a published document, standard or list (as the case may be) in respect of which such provision has not previously been made, (d) confer new powers for the enforcement of energy smart regulations, or (e) make provision by virtue of section 242(2) for the imposition of new civil (7) A revised version of a published document, standard or list is to be disregarded for the purposes of subsection (6)(c) if provision has previously been made in respect of the document, standard or list by virtue of section 240(1)(a) or (b) (as the case may be). (8) Any other regulations under section 239 are subject to the negative procedure. I301 S. 244 not in force at Royal Assent, see s. 334(1) I302 S. 244 in force at 11.1.2024 by S.I. 2024/32, reg. 2(b)(ii)

Part 9 – Energy smart appliances and load control Chapter 3 – Licensing of load control 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) 245 Power to amend licence conditions load control (1) The Secretary of State may modify— (a) the conditions of a licence granted under section 6(1) of the Electricity Act (b) the standard conditions incorporated in such licences by virtue of section 8A (c) the conditions of a licence granted under section 7A(1) or 7AB of the Gas (d) the standard conditions incorporated in such licences by virtue of section 8 (e) a document maintained in accordance with the conditions of a licence granted under section 6(1) of the Electricity Act 1989 or section 7A(1) or 7AB of the Gas Act 1986, or an agreement that gives effect to a document so maintained. (2) The Secretary of State may exercise the power conferred by subsection (1) for the purposes of facilitating, promoting, ensuring the security of, or otherwise regulating load control or other activities falling within section 56FBA(2) of the Electricity Act (3) Modifications made to the conditions of a licence may include provisions of a kind mentioned in section 7 of the Electricity Act 1989 or section 7B of the Gas Act 1986 (as appropriate) and may in particular— (a) regulate or prohibit the provision of load control in relation to appliances that are not compliant with energy smart regulations or any technical standards specified in or under a condition; (b) regulate the provision of load control in relation to appliances that are compliant with energy smart regulations or any technical standards specified (c) require the holder of a licence to supply information to the Secretary of State or the GEMA (or both) so as to enable them to assess any matter relating to the purposes mentioned in subsection (2); (d) require the holder of the licence to enter (or refrain from entering) into an agreement of a specified kind, or with a specified person; (e) require the holder of a licence to supply information about tariffs (including to such persons, and in such a format, specified in or under a condition). (4) The power conferred by subsection (1)— (a) may be exercised to make different provision in relation to different areas or different classes of customer; (b) may be exercised generally, only in relation to specified cases or subject to exceptions (including provision for a case to be excepted only so long as specified conditions are satisfied); (c) may be exercised differently in different cases or circumstances; (d) includes a power to make incidental, supplementary, consequential or

Part 9 – Energy smart appliances and load control Chapter 3 – Licensing of load control 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 power conferred by subsection (1) may not be exercised after the period of 10 years beginning with the day on which this section comes into force. (6) The Secretary of State may, by regulations, extend (or further extend) that period. (7) Regulations under subsection (6)— (a) may not extend the period (or any extended period) by more than three years (b) are subject to the affirmative procedure. (8) In this section “modify” includes remove or fail to incorporate and “modification” is I303 S. 245 not in force at Royal Assent, see s. 334(1) I304 S. 245 in force at 11.1.2024 by S.I. 2024/32, reg. 2(b)(iii) 246 Power to amend licence conditions procedure (1) Before making a modification, the Secretary of State must consult— (a) the holder of any licence being modified, (c) such other persons as the Secretary of State considers appropriate.
(2) Subsection (1) may be satisfied by consultation before, as well as by consultation after, (3) The Secretary of State must specify the date upon which any modification is to have (4) The Secretary of State must publish details of any modifications as soon as reasonably practicable after they are made. (5) In this section “modification” means a modification under section 245. I305 S. 246 not in force at Royal Assent, see s. 334(1) I306 S. 246 in force at 11.1.2024 by S.I. 2024/32, reg. 2(b)(iii) 247 Load supplemental (1) A modification under section 245 of part of a standard condition of a licence 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 Gas Act 1986 or Part 1 of the Electricity (2) Where the Secretary of State makes modifications under section 245(1)(b) or (e) of the standard conditions of a licence of any type, the GEMA must— (a) make the same modification of those standard conditions for the purposes of their incorporation in licences of that type granted after that time, and

Part 9 – Energy smart appliances and load control Chapter 3 – Licensing of load control 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) I307 S. 247 not in force at Royal Assent, see s. 334(1) I308 S. 247 in force at 11.1.2024 by S.I. 2024/32, reg. 2(b)(iii) 248 Application of general duties to functions relating to load control (1) Sections 4AA to 4B of the Gas Act 1986 (principal objectives and general duties) apply to the carrying out, as respects the matters mentioned in subsection (2), of functions conferred on the Secretary of State or the GEMA by or under sections 245 to 247. (a) activities required to be authorised by gas licences, (b) such licences and the conditions of such licences, (c) documents maintained in accordance with the conditions of such licences, or agreements that give effect to documents so maintained, and (d) companies holding such licences. (3) In section 4AA(2)(b) of the Gas Act 1986 (duty to have regard to ability of licence holders to finance obligations) for “or sections 26 to 29 of the Energy Act 2010” substitute “, sections 26 to 29 of the Energy Act 2010, or sections 245 to 247 of the (4) Sections 3A to 3D of the Electricity Act 1989 (principal objectives and general duties) apply to the carrying out, as respects the matters mentioned in subsection (5) , of functions conferred on the Secretary of State or the GEMA by or under sections 245 (a) activities required to be authorised by electricity licences, (b) such licences and the conditions of such licences, (c) documents maintained in accordance with the conditions of such licences, or agreements that give effect to documents so maintained, and (d) companies holding such licences. (6) In section 3A(2)(b) of the Electricity Act 1989 (duty to have regard to ability of licence holders to finance obligations) for “or the Nuclear Energy (Financing) Act 2022” substitute “, the Nuclear Energy (Financing) Act 2022 or sections 245 to 247 of the (7) In section 33(1) of the Utilities Act 2000 (standard conditions of electricity licences)— (a) omit the “or” at the end of paragraph (i), and (b) after paragraph (j) insert “or, (k) under sections 245 to 247 of the Energy Act 2023.” “electricity licence” means a licence for the purposes of section 4 of the Electricity Act 1989 (prohibition on unlicensed activities); “gas licence” means a licence for the purposes of section 5 of the Gas Act 1986 (prohibition on unlicensed activities). Part 10 – Energy performance of premises Chapter 3 – Licensing of load control 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) I309 S. 248 not in force at Royal Assent, see s. 334(1) I310 S. 248 in force at 11.1.2024 by S.I. 2024/32, reg. 2(b)(iii) 249 Licensing of activities relating to load control Schedule 19, which amends the Electricity Act 1989, provides for the licensing of I311 S. 249 not in force at Royal Assent, see s. 334(1) I312 S. 249 in force at 11.1.2024 by S.I. 2024/32, reg. 2(b)(iii) 250 Power to make energy performance regulations (1) The appropriate authority may make regulations for any of these purposes— (a) enabling or requiring the energy usage or energy efficiency of premises to be assessed, certified and publicised; (b) enabling or requiring possible improvements in the energy usage or energy efficiency of premises to be identified and recommended; (c) restricting or prohibiting the marketing and disposal of premises on the basis of whether their energy usage or energy efficiency has been assessed, certified (2) In this Part regulations under this section are referred to as “energy performance (3) Energy performance regulations may— (i) the regulations to apply to specified descriptions of premises, or (ii) specified descriptions of premises to be excluded from the application (b) confer functions on any person; (c) provide for functions to be exercisable only if specified conditions are met (including conditions as to the eligibility of persons to exercise the functions); (d) provide for the energy usage or energy efficiency of premises to be assessed or certified by reference to information that is obtained, produced or kept otherwise than under energy performance regulations; (e) impose requirements on any person; (f) make provision for the purpose of securing compliance with requirements imposed by or under energy performance regulations (see section 252);

Part 10 – Energy performance of premises Chapter 3 – Licensing of load control 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) (g) authorise or require, or restrict or prohibit, the supply or keeping of information (including authorising or requiring supply or keeping of information that would otherwise be prohibited); (h) provide for the charging of fees. (4) A reference in this Part to publicising the energy usage and energy efficiency of (a) displaying energy performance information in the premises to which it relates; (b) arranging for energy performance information to be entered into a record of such information (including a record that is publicly accessible); (c) reporting energy performance information; (d) supplying energy performance information. “the appropriate authority” means— (a) in relation to England and Wales, the Secretary of State; (b) in relation to Scotland, the Scottish Ministers; (c) in relation to Northern Ireland, the Department; “certified” means certified in accordance with energy performance “the Department” means the Department of Finance in Northern Ireland; “disposal of premises” includes leasing or letting of premises; “energy performance information” means information about the energy usage or energy efficiency of premises; (a) a building or a part of a building (including any equipment, systems or facilities used by the building or the part), or (b) any equipment, systems or facilities used by a building or a part of a “specified” means specified in energy performance regulations. I313 S. 250 in force at 26.12.2023, see s. 334(3)(h) 251 Energy performance regulations relating to new premises (1) The power to make energy performance regulations is exercisable in relation to new (2) Accordingly, in section 250 (except in the definition of “premises” in section 250(5)) (a) a reference to premises includes new premises; (b) a reference to the energy usage and energy efficiency of premises includes the anticipated energy usage and energy efficiency of new premises. (3) In this section “new premises” means premises— (a) which are being constructed or adapted, or (b) which it is proposed to construct or adapt. Part 10 – Energy performance of premises Chapter 3 – Licensing of load control 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) I314 S. 251 in force at 26.12.2023, see s. 334(3)(h) (1) The enforcement provision that may be made includes provision— (a) for a person with public functions to enforce a requirement imposed by or under energy performance regulations; (b) about the sanctions for non-compliance with a requirement imposed by or under energy performance regulations; (c) about the sanctions for the provision of false information in connection with (d) about the sanctions for obstruction of, or impersonation of, an enforcement authority or a person acting for an enforcement authority. (2) Energy performance regulations may provide for the imposition of civil penalties by enforcement authorities in relation to cases falling within subsection (1)(b), (c) or (d); but the regulations may not provide for a civil penalty that exceeds £15,000. (3) Energy performance regulations may provide for the creation of criminal offences in relation to cases falling within subsection (1)(b), (c) or (d); but the regulations may not provide for a criminal offence to be punishable— (a) with imprisonment for a term exceeding 12 months, or (b) with a fine of more than level 5 on the standard scale. (4) Where energy performance regulations make provision for a civil penalty, the regulations must also include provision for a right of appeal to a court or tribunal against the imposition of the penalty. (5) Provision falling within subsection (4) includes, in particular, provision— (a) as to the jurisdiction of the court or tribunal to which an appeal may be made; (b) as to the grounds on which an appeal may be made; (c) as to the procedure for making an appeal (including any fee which may be (d) suspending the imposition of the penalty, pending determination of the appeal; (e) as to the powers of the court or tribunal to which an appeal is made; (f) as to how any sum payable in pursuance of a decision of the court or tribunal (6) The provision referred to in subsection (5)(e) includes provision conferring on the court or tribunal to which an appeal is made power— (c) to vary the amount of the penalty; (7) The appropriate authority may, by regulations, amend the amount specified in subsection (2) for the purpose of reflecting inflation. Part 10 – Energy performance of premises Chapter 3 – Licensing of load control 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) “enforcement authority” means a person on whom energy performance regulations confer the function of enforcing any requirement imposed by or under energy performance regulations; “enforcement provision” means provision falling within section 250(3)(f). I315 S. 252 in force at 26.12.2023, see s. 334(3)(h) (1) Regulations under this Part may amend, repeal or revoke provision made by or under (2) Regulations under this Part containing provision within subsection (3) (with or without (a) if made by the Secretary of State, are subject to the affirmative procedure (b) if made by the Scottish Ministers, are subject to the affirmative procedure (see section 29 of the Interpretation and Legislative Reform (Scotland) Act 2010 (c) if made by the Department, may not be made unless a draft of the regulations has been laid before and approved by a resolution of the Northern Ireland (3) The provision within this subsection is— (a) provision creating a criminal offence or civil penalty (but excluding provision modifying the circumstances in which a person is guilty of an existing offence or liable for an existing civil penalty); (b) provision specifying a civil penalty amount (but excluding provision made by virtue of section 252(7) (inflation-related adjustments)); (c) provision amending or repealing provision made by primary legislation.
(4) Any other regulations under this Part— (a) if made by the Secretary of State, are subject to the negative procedure (b) if made by the Scottish Ministers, are subject to the negative procedure (see section 28 of the Interpretation and Legislative Reform (Scotland) Act 2010 (c) if made by the Department, are subject to negative resolution within the meaning given by section 41(6) of the Interpretation Act (Northern Ireland) (5) Regulations under this Part— (a) may make provision about application to the Crown; and (b) may also, to the extent that they bind the Crown, restrict or modify the application of the regulations. (6) A power of the Department to make regulations under this Part is exercisable by statutory rule for the purposes of the Statutory Rules (Northern Ireland) Order 1979

Part 11 – Energy Savings Opportunity Schemes Chapter 3 – Licensing of load control Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (7) In this section “primary legislation” means— (b) an Act of the Scottish Parliament, (c) an Act or Measure of Senedd Cymru, or (d) Northern Ireland legislation. I316 S. 253 in force at 26.12.2023, see s. 334(3)(h) Establishment and application of schemes 254 Energy savings opportunity schemes (1) The Secretary of State may by regulations (“ESOS regulations”) make provision for the establishment and operation of one or more energy savings opportunity schemes. (2) An “energy savings opportunity scheme” is a scheme under which obligations are imposed on undertakings to which the scheme applies for one or more of the ESOS (a) enabling or requiring the energy consumption for which an undertaking is responsible, or the greenhouse gas emissions resulting from that consumption, to be assessed, audited, reported and published; (b) enabling or requiring possible energy savings or emissions reductions to be (c) enabling or requiring the costs and benefits of possible energy savings or emissions reductions to be assessed; (d) encouraging or requiring undertakings to produce plans or set targets for achieving energy savings or emissions reductions; (e) encouraging or requiring undertakings to take action for the purpose of achieving energy savings or emissions reductions; (f) encouraging or requiring undertakings to achieve energy savings or emissions (4) An energy saving is a reduction in the energy consumption for which an undertaking (5) An emissions reduction is a reduction in the greenhouse gas emissions that result from the energy consumption for which an undertaking is responsible (whether or not that (6) ESOS regulations may make provision about determining— (a) the energy consumption for which an undertaking is responsible;

Part 11 – Energy Savings Opportunity Schemes Chapter 3 – Licensing of load control 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 greenhouse gas emissions resulting from that consumption. (a) impose requirements on any person; (b) confer functions on any person; (c) provide for a person to exercise discretion in dealing with any matter. (8) The provision made by this Part is without prejudice to the generality of subsection (1). (9) For the purposes of this Part— (a) the scheme established by the Energy Savings Opportunity Scheme Regulations 2014 (S.I. 2014/1643) is to be treated as having been established by provision made under subsection (1); (b) a reference to a scheme administrator includes a reference to a compliance body within the meaning given by those Regulations. I317 S. 254 in force at Royal Assent, see s. 334(2)(m) 255 Application of energy savings opportunity schemes (1) ESOS regulations may provide for— (a) an energy savings opportunity scheme to apply to specified descriptions of (b) specified descriptions of undertakings to be excluded from the application of (2) ESOS regulations may make provision about circumstances in which— (a) two or more participants are to be treated for the purposes of the regulations as if they were a single participant; (b) an obligation imposed under the regulations on one participant is to be treated as if it had been imposed on a different participant. (3) The provisions of this Part relating to energy consumption apply to energy consumed by assets located, or activities carried on— (a) wholly or partly in the United Kingdom; (b) wholly or partly in an offshore area; (c) where subsection (4) applies, elsewhere. (4) ESOS regulations may make provision about circumstances in which the energy consumption for which a participant is, for the purposes of the regulations, responsible may include energy consumed by— (a) assets located elsewhere than in the United Kingdom or an offshore area, or (b) activities carried on elsewhere than in the United Kingdom or an offshore area. (5) The provisions of this Part relating to greenhouse gas emissions apply to the emissions resulting from energy consumption to which this Part applies whether such emissions occur in the United Kingdom, in an offshore area or elsewhere. Part 11 – Energy Savings Opportunity Schemes Chapter 3 – Licensing of load control 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) ESOS regulations may make provision about the attribution of energy consumption to participants, including in particular provision about the treatment for the purposes (a) a participant’s consumption of energy generated by that participant; (b) energy consumption by a person over whom a participant has control or (c) energy consumption shared between a participant and one or more other participants or other persons; (d) energy consumed by assets held on trust by or for a participant.
(7) In this section, “offshore area” means— (a) waters landward of the seaward limit of the territorial sea adjacent to the (b) any designated area within the meaning of section 1(7) of the Continental (c) any area for the time being designated under section 41(3) of the Marine and and includes the places above those areas and the bed and subsoil of the sea within I318 S. 255 in force at Royal Assent, see s. 334(2)(m) Assessments, energy savings and emissions reductions 256 Requirement for assessment of energy consumption (1) ESOS regulations may require the carrying out of assessments of— (a) a participant’s energy consumption; (b) the greenhouse gas emissions resulting from that consumption. Such an assessment is referred to as an “ESOS assessment”. (2) The provision that may be made by virtue of subsection (1) includes in particular (a) the frequency of ESOS assessments; (b) the period or periods to which assessments must relate; (c) how assessments are to be carried out; (d) the information that must be provided or obtained for the purposes of an (e) the matters that must be taken into account in an assessment; (f) record-keeping in relation to an assessment. (3) ESOS regulations may make provision requiring an ESOS assessment, or specified parts of an ESOS assessment, to be carried out, approved or audited by a person appointed by a participant (referred to as “an assessor”). Part 11 – Energy Savings Opportunity Schemes Chapter 3 – Licensing of load control 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) Regulations made by virtue of subsection (1) may include provision enabling or requiring an ESOS assessment to include recommendations relating to energy savings (5) The provision that may be made by virtue of subsection (4) includes in particular (a) the matters about which recommendations may, must, or must not be made; (b) the matters that must be taken into account in making a recommendation; (c) the carrying out of a cost-benefit analysis before including a recommendation (6) “Cost-benefit analysis”, in relation to a recommendation or requirement to take action, (a) an estimate of the likely costs to a participant of acting in accordance with the recommendation or requirement; (b) an estimate of the energy savings or emissions reductions likely to result from (c) an analysis of the costs referred to in paragraph (a) together with an analysis of the savings or reductions referred to in paragraph (b) and of any other benefits (7) ESOS regulations may make provision about the reporting of ESOS assessments, including in particular provision— (a) about the production of written reports; (b) about the form and content of such reports; (c) about the dissemination of such reports within an undertaking and between (8) ESOS regulations may make provision requiring a participant to notify a scheme administrator of specified matters relating to the participant’s compliance with requirements imposed by virtue of this section and may in particular include (a) about the procedure for giving such notice; (b) about the form and content of notices; (c) about the publication of certain information contained within a notice; (d) requiring a participant to justify its choice of assessor. (9) ESOS regulations may provide for any requirement imposed by virtue (a) to be treated as having been complied with by a participant in specified (b) not to apply to a participant in specified circumstances. I319 S. 256 in force at Royal Assent, see s. 334(2)(m)

Part 11 – Energy Savings Opportunity Schemes Chapter 3 – Licensing of load control 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) ESOS regulations may confer functions on an assessor in relation to assessing, monitoring and reporting on compliance with requirements imposed by the (2) ESOS regulations may provide that a participant may only appoint as an assessor a person of a specified description. (3) A description may be specified for the purposes of subsection (2) by reference to any criteria, including by reference to— (a) a person’s competence, qualifications or experience; (b) a person’s inclusion in a designated list or register; (c) a person’s membership of a designated body; (d) a person’s participation in a designated accreditation scheme; (e) a person’s relationship to a participant. (4) For the purposes of this section, “designated” means designated by the Secretary of State or a scheme administrator in accordance with ESOS regulations. (5) A body may only be designated for the purposes of this section if the body is willing (6) ESOS regulations may make provision about— (a) the giving of designations for the purposes of subsection (4); (b) reviewing such designations; (c) circumstances in which such a designation may be removed; (d) maintaining and publishing a list of such designations.
(7) ESOS regulations may make provision enabling a list or register of persons who may, or who may not, be appointed as an assessor for the purposes of subsection (2) to be (8) ESOS regulations may confer functions or impose requirements on a person responsible for maintaining a designated list or register and may in particular include (a) about the process for including a person in a list or register; (b) about the details to be included in a list or register; (c) for ensuring those details remain up to date; (d) about the publication of a list or register; (e) for the purpose of ensuring that a person included in a list or register continues to meet the criteria for appointment as an assessor; (f) for the purpose of ensuring the quality of ESOS assessments; (g) about the temporary or permanent removal of a person from a list or register (9) The regulations may make provision authorising a scheme administrator to share reports, notices or other information relating to an energy savings opportunity scheme with a designated body for the purposes referred to in subsection (8)(e) or (f). Part 11 – Energy Savings Opportunity Schemes Chapter 3 – Licensing of load control 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) ESOS regulations may make provision— (a) enabling the Secretary of State or a scheme administrator to give a direction relating to the maintenance of a list or register; (b) requiring a person responsible for maintaining a list or register to comply with I320 S. 257 in force at Royal Assent, see s. 334(2)(m) (1) ESOS regulations may require participants to produce ESOS action plans. (2) An “ESOS action plan” is a written statement of— (a) any action a participant proposes to take for the purpose of achieving energy savings or emissions reductions; (b) any energy savings or emissions reductions targets a participant intends to (3) Where an ESOS action plan does not include any proposals for taking such action or any such targets, provision made by virtue of subsection (1) may require that a participant include an explanation in the plan. (4) ESOS regulations may make provision about the production of ESOS action plans, including in particular provision about— (a) when a participant must produce a plan; (b) the period to which a plan must relate; (c) the form and content of a plan; (d) the matters that must be taken into account in producing a plan. (5) ESOS regulations may make provision about the publication of ESOS action plans. I321 S. 258 in force at Royal Assent, see s. 334(2)(m) 259 Action to achieve energy savings or emissions reductions (1) ESOS regulations may make provision— (a) imposing requirements (other than the requirements referred to in paragraph (b)) on participants so as to encourage them to— (i) take specified action for the purpose of achieving energy savings or (ii) achieve specified energy savings or emissions reductions, or (b) requiring participants to— (i) take specified action for the purpose of achieving energy savings or (ii) achieve specified energy savings or emissions reductions. Part 11 – Energy Savings Opportunity Schemes Chapter 3 – Licensing of load control 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 kinds of action that may be specified for the purposes of subsection (1) are— (a) taking action in accordance with a recommendation made in an ESOS (b) taking action in accordance with an ESOS action plan; (c) taking any other action of a specified kind; (d) taking action to achieve a target included in an ESOS action plan; (e) taking action to achieve any other specified outcome; (f) adopting processes, practices or systems of a specified kind; (g) conforming to specified standards. (3) The provision that may be made by virtue of subsection (1)(a) includes in particular— (a) provision requiring a participant to report— (i) on whether the participant has taken the specified action, or on the steps taken by the participant towards doing so, or (ii) on whether the participant has achieved the specified energy savings or emissions reductions, or on the progress made by the participant (b) provision requiring a participant to provide an explanation for any of the matters mentioned in paragraph (a). (4) Provision made by virtue of subsection (1) (b) may include a requirement for a participant to report on action taken or energy savings or emissions reductions (5) Regulations made by virtue of subsection (1) may make provision— (a) requiring participants to produce and retain evidence; (b) about the verification of matters about which the participant has reported; (c) about the publication of reports. (a) specify the requirements imposed on a participant by virtue of subsection (1) by reference to a cost-benefit analysis; (b) specify circumstances in which a participant is required to take action; (c) impose a requirement to take a specified action on all participants in an energy savings opportunity scheme, or on all participants of a specified description. I322 S. 259 in force at Royal Assent, see s. 334(2)(m) Administration, enforcement and appeals (1) ESOS regulations may appoint one or more public authorities to carry out functions (a) administering an energy savings opportunity scheme; (b) monitoring compliance with, and enforcing requirements imposed by, the

Part 11 – Energy Savings Opportunity Schemes Chapter 3 – Licensing of load control 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) A person appointed by virtue of subsection (1) is referred to as a “scheme (3) The regulations may make provision for a scheme administrator to authorise another person to exercise specified functions of the scheme administrator. (4) Regulations made by virtue of subsection (1) may in particular include provision (a) the obtaining of information by, and the provision of information to, a scheme (b) the determination by a scheme administrator of information in default of its (c) the auditing and verification of information; (d) the keeping, production and inspection of records; (e) the determination by a scheme administrator of whether an undertaking is a participant in an energy savings opportunity scheme; (f) cooperation and information sharing between scheme administrators. (5) ESOS regulations may make provision imposing requirements on a participant relating to the provision of such facilities and services, including transport and accommodation, as may be necessary to facilitate the carrying out of any of the scheme (6) ESOS regulations may confer functions on a scheme administrator in relation to the publication of information relating to an energy savings opportunity scheme or its (7) ESOS regulations may make provision— (a) about the giving of guidance by a scheme administrator or the Secretary of State in connection with the operation of an energy savings opportunity (b) requiring specified persons to have regard to such guidance. (8) ESOS regulations may make provision requiring the payment by participants to the scheme administrator of fees for or in connection with the carrying out by the scheme administrator of the scheme administrator’s functions. (9) ESOS regulations may confer a power on a national authority to require a scheme administrator to provide the authority with such information— (a) relating to an energy savings opportunity scheme, and (b) relevant to the exercise of the authority’s functions, (d) the Department for the Economy in Northern Ireland; “public authority” means a person with functions of a public nature. Part 11 – Energy Savings Opportunity Schemes Chapter 3 – Licensing of load control 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) I323 S. 260 in force at Royal Assent, see s. 334(2)(m) 261 Enforcement, penalties and offences (1) ESOS regulations may authorise a scheme administrator— (a) to require the production of documents or the provision of information by any (b) to question the officers of an undertaking; (c) to enter premises with a warrant; (d) to inspect premises and anything on premises and when doing so— (i) to take measurements, photographs, recordings or copies; (ii) to seize documents or records; (iii) to require any person at the premises to provide facilities and assistance to the extent that is within that person’s control; (e) to issue a notice requiring a participant to take steps specified in the notice (i) demonstrating compliance with requirements imposed by or under (ii) remedying a failure to comply with such requirements. (2) ESOS regulations may make provision requiring a participant to give notice to a scheme administrator where the participant is unlikely to comply, or has failed to comply, with a requirement imposed by or under the regulations. (3) ESOS regulations may provide that a person is liable to one or more penalties in respect (a) a failure to comply with a requirement imposed on the person by or under the (b) making a false or misleading statement in connection with an energy savings (4) The provision that may be made by virtue of subsection (3) includes provision— (a) for the publication of specified information relating to the failure to comply; (b) authorising a scheme administrator to impose a financial penalty. (5) Where by virtue of subsection (3) ESOS regulations provide for the imposition of a financial penalty, the regulations— (a) must provide for the penalty to be paid to the scheme administrator or such other person as the regulations may specify; (b) may specify the amount of the penalty or provide for the amount to be determined by the scheme administrator in accordance with the regulations; (c) may provide for the payment of a further penalty (of an amount specified by or determined in accordance with the regulations) for each day on which the failure to comply is not remedied; (d) may specify how the penalty may be recovered. (6) ESOS regulations may create offences relating to energy savings opportunity schemes. Part 11 – Energy Savings Opportunity Schemes Chapter 3 – Licensing of load control Document 2024-10-14 This version of this Act contains provisions that are prospective. Changes to There are currently no known outstanding effects for the Energy Act 2023. (See end of Document for details) (7) Regulations made by virtue of subsection (6) may provide for an offence created by the regulations to be triable— (b) either summarily or on indictment. (8) Regulations made by virtue of subsection (6) may provide for an offence created by the regulations to be punishable with a fine. (a) provide for defences against offences; (b) make provision about matters of procedure and evidence in proceedings (c) include provision about the liability of a director, manager, secretary or other officer of a body corporate, or a partner of a Scottish partnership, or of a person purporting to act in such a capacity, where an offence under the regulations— (i) is committed with the consent or connivance of such a person, or (ii) is attributable to neglect on the part of such a person. (10) References in this section to a scheme administrator include references to a person authorised by a scheme administrator in accordance with provision in ESOS regulations made by virtue of section 260(3). I324 S. 261 in force at Royal Assent, see s. 334(2)(m) (1) ESOS regulations that provide for the imposition of a financial penalty must also provide for a right of appeal to a court or tribunal against the imposition of the penalty.
(2) ESOS regulations may confer rights of appeal against— (a) decisions made in relation to an energy savings opportunity scheme, and (b) penalties imposed (other than financial penalties) or enforcement action taken for failure to comply with the requirements of the regulations. (3) Regulations that make provision by virtue of subsection (2) must specify the court, tribunal or person who is to hear and determine an appeal made by virtue of that (4) The provision that may be made by virtue of subsection (1) or (2) includes, in (a) the grounds on which an appeal may be made; (b) the procedure for making an appeal (including any fee which may be payable); (c) suspending the effect of any decision, penalty or enforcement action pending (d) the powers of the court, tribunal or person to which an appeal is made. Part 11 – Energy Savings Opportunity Schemes Chapter 3 – Licensing of load control 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) I325 S. 262 in force at Royal Assent, see s. 334(2)(m) 263 ESOS procedure etc (1) Before making ESOS regulations, the Secretary of State must consult such persons likely to be affected by the regulations as the Secretary of State considers appropriate. (2) Subsection (1) may be satisfied by consultation before this section comes into force (as well as by consultation after that time). (3) Before making ESOS regulations that contain provision within devolved competence, the Secretary of State must give notice— (a) stating that the Secretary of State proposes to make ESOS regulations, (b) setting out or describing the provisions of the regulations that contain provision within devolved competence, and (c) specifying the period (of not less than 28 days from the date on which the notice is given) within which representations may be made with respect to and must consider any representations duly made and not withdrawn. (4) A notice under subsection (3) must be given to each relevant devolved authority, that (a) the Scottish Ministers, so far as the regulations contain provision within (b) the Welsh Ministers, so far as the regulations contain provision within Welsh (c) the Department for the Economy in Northern Ireland, so far as the regulations contain provision within Northern Ireland devolved competence. (5) The Secretary of State need not wait until the end of the period specified under subsection (3)(c) before making ESOS regulations if, before the end of that period, each relevant devolved authority to which the notice was given has confirmed that it has made any representations it intends to make with respect to the provisions referred to in subsection (3)(b). (6) The Secretary of State must, if requested to do so by a relevant devolved authority, give the authority a statement setting out whether and how representations made by the authority with respect to the provisions referred to in subsection (3)(b) have been taken into account in the regulations. (7) References in subsection (3) to provision within devolved competence are to provision that is within Scottish, Welsh or Northern Ireland devolved competence. (8) Where the Secretary of State makes ESOS regulations that have effect in relation to the compliance period beginning on 6 December 2019 (see regulation 4 of the Energy Savings Opportunity Schemes Regulations 2014 (S.I. 2014/1643))— (a) subsections (3) to (7) do not apply, and (b) before making the regulations, the Secretary of State must consult—

Part 11 – Energy Savings Opportunity Schemes Chapter 3 – Licensing of load control 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) the Scottish Ministers, so far as the regulations contain provision within Scottish devolved competence, (ii) the Welsh Ministers, so far as the regulations contain provision within Welsh devolved competence, and (iii) the Department for the Economy in Northern Ireland, so far as the regulations contain provision within Northern Ireland devolved and subsection (2) applies to consultation under paragraph (b) as it applies to consultation under subsection (1). (9) ESOS regulations may create exceptions to any requirement imposed by the (a) make provision about application to the Crown; (b) to the extent that they bind the Crown, restrict or modify the application of (11) ESOS regulations containing any of the following (with or without other provision) are subject to the affirmative procedure— (a) provision extending the descriptions of undertaking to which the regulations (b) provision made by virtue of section 259 (1)(b) of a kind not previously provided for in ESOS regulations; (c) provision conferring on a scheme administrator enforcement powers of a kind not previously provided for in ESOS regulations; (d) provision creating penalties; (e) provision increasing the amount of financial penalties by more than is necessary to reflect changes in the value of money; (f) provision creating an offence or increasing the fine for an existing offence; (g) provision for the payment of a new fee. (12) Any other ESOS regulations are subject to the negative procedure. I326 S. 263 in force at Royal Assent, see s. 334(2)(m) Directions and financial assistance 264 Directions to scheme administrators (1) The Secretary of State may give directions to a scheme administrator. (2) The power to give directions under this section includes a power to vary or revoke (3) A scheme administrator must comply with any direction given to it under this section. Part 11 – Energy Savings Opportunity Schemes Chapter 3 – Licensing of load control 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) I327 S. 264 in force at 26.12.2023, see s. 334(3)(i) 265 Financial assistance to scheme administrators and participants (1) The Secretary of State may give, or arrange for the giving of, financial assistance to— (2) “Financial assistance” means grants, loans, guarantees or indemnities, or any other (3) Financial assistance under this section may be given subject to such conditions as may be determined by, or in accordance with arrangements made by, the Secretary of State. I328 S. 265 in force at 26.12.2023, see s. 334(3)(i) “assessor” has the meaning given by section 256(3); “cost benefit analysis” has the meaning given by section 256(6); “emissions reduction” has the meaning given by section 254(5); “energy consumption” has the meaning given by ESOS regulations; “energy saving” has the meaning given by section 254(4); “energy savings opportunity scheme” has the meaning given “ESOS action plan” has the meaning given by section 258(2); “ESOS assessment” has the meaning given by section 256(1); “ESOS regulations” means regulations made under section 254(1); “greenhouse gas” has the meaning given by section 92 of the Climate “participant” means an undertaking to which an energy savings opportunity “related undertaking”, in relation to a participant, means a fellow subsidiary undertaking of, or a group undertaking in relation to, that participant; “scheme administrator” has the meaning given by section 260(2); “specified” means specified in ESOS regulations; “undertaking”, “group undertaking” and “fellow subsidiary undertaking” have the meanings given by section 1161 of the Companies Act 2006. (2) For the purposes of this Part, provision—

Part 12 – Core fuel sector resilience 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) is within Welsh devolved competence if it would be within the legislative competence of Senedd Cymru if it were contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown imposed under Schedule 7B to the Government of Wales Act 2006); (b) is within Scottish devolved competence if it would be within the legislative competence of the Scottish Parliament if it were contained in an Act of that (c) is within Northern Ireland devolved competence if it— (i) would be within the legislative competence of the Northern Ireland Assembly if it were contained in an Act of that Assembly, and (ii) would not, if it were contained in a Bill in the Northern Ireland Assembly, result in the Bill requiring the consent of the Secretary of State under section 8 of the Northern Ireland Act 1998. I329 S. 266 in force at Royal Assent, see s. 334(2)(m) The functions of the Secretary of State under this Part must be exercised with a view (a) ensuring that economic activity in the United Kingdom is not adversely affected by disruptions to core fuel sector activities, and (b) reducing the risk of emergencies affecting fuel supplies. I330 S. 267 not in force at Royal Assent, see s. 334(1) I331 S. 267 in force at 11.1.2024 by S.I. 2024/32, reg. 2(c)(i) 268 “Core fuel sector activity” and other key concepts (1) In this Part “core fuel sector activity” means an activity of a kind mentioned in subsection (2), so far as the activity— (a) is carried on in the United Kingdom in the course of a business, and (b) contributes (directly or indirectly) to the supply of core fuels to consumers in the United Kingdom or persons carrying on business in the United Kingdom. (2) The kinds of activity are—

Part 12 – Core fuel sector resilience 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) storing oil or renewable transport fuel; (b) handling oil or renewable transport fuel; (c) the carriage of oil or renewable transport fuel by sea or inland water; (d) transporting oil or renewable transport fuel by road or rail; (e) conveying oil or renewable transport fuel by pipes; (f) processing or producing oil or renewable transport fuel (whether by refining, (3) In subsection (2) the references to “oil” do not include crude oil which has not yet entered any refinery or terminal in the United Kingdom. (4) In this Part “core fuels” means— (a) crude oil based fuels, and (b) renewable transport fuels. (5) In this Part “core fuel sector resilience” means the capability of core fuel sector (b) reduce the potential adverse impact of, and disruptions to core fuel sector activities. (6) In this Part “core fuel sector participant” means— (a) a person carrying on core fuel sector activities; (7) For the purposes of this Part there is “continuity of supply of core fuels” where the supply of core fuels to consumers in all areas of the United Kingdom, and persons carrying on business in all areas of the United Kingdom— (a) is reliable and continuous, and (b) is maintained at normal levels. (8) In subsection (7) “normal levels” means levels that— (a) are not substantially below average monthly levels of supply in the United Kingdom (taking account of regional variations), and (b) are consistent with a reasonable balance between supply and demand. (9) For the purposes of subsection (8) “average monthly levels” are to be calculated by reference to levels of supply in the five years preceding the calculation. (10) In this Part “relevant activities or assets”— (a) in relation to a person carrying on core fuel sector activities, means the person’s core fuel sector activities (and includes any land or assets under the person’s control that are associated with those activities); (b) in relation to a Part 12 facility owner, means the owned facility.
(a) “Part 12 facility owner” means the owner of a pipeline, terminal, or other facility or infrastructure which is used, or any part of which is used, for the purposes of core fuel sector activities; (b) in relation to a Part 12 facility owner, “the owned facility” means the facility or infrastructure mentioned in paragraph (a). Part 12 – Core fuel sector resilience Chapter 2 – Powers for resilience purposes 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 subsection (11) “owner”, in relation to any facility or infrastructure, means— (a) a person in whom the facility or infrastructure is vested, or (b) a lessee of the facility or infrastructure. (13) In this Part references to a “person carrying on core fuel sector activities” include any person carrying on such activities (whether or not as the owner of the oil or renewable I332 S. 268 not in force at Royal Assent, see s. 334(1) I333 S. 268 in force at 11.1.2024 by S.I. 2024/32, reg. 2(c)(i) 269 Directions to particular core fuel sector participants (1) The Secretary of State may, for the purpose of maintaining or improving core fuel sector resilience, direct a person to whom this section applies to do anything in relation to the person’s relevant activities or assets (for example, to acquire and install specific equipment, or carry out specific works, at the person’s own expense). (2) The Secretary of State may not give a direction under subsection (1) unless the Secretary of State considers that the persons to whom this section applies have failed to make sufficient progress with the steps that the Secretary of State considers necessary for maintaining or improving core fuel sector resilience. (3) Where there is disruption to, or a failure of, continuity of supply of core fuels, the Secretary of State may direct a person to whom this section applies to do anything in relation to the person’s relevant activities or assets which the Secretary of State considers necessary or expedient for the purpose of— (a) restoring continuity of supply of core fuels, or (b) counteracting the disruption or failure, or its potential adverse impact. (4) If the Secretary of State considers that there is a significant risk of disruption to, or a failure of, continuity of supply of core fuels, the Secretary of State may direct a person to whom this section applies to do anything in relation to the person’s relevant activities or assets which the Secretary of State considers necessary or expedient for (b) reducing the potential adverse impact of the disruption or failure. (5) The Secretary of State may not make a direction under subsection (1), (3) or (4) unless the Secretary of State considers— (a) that, the corresponding cases (if any) are not sufficiently numerous to justify making regulations under section 272, or

Part 12 – Core fuel sector resilience Chapter 2 – Powers for resilience purposes 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) that, by reason of urgency, it is not practicable to achieve the aims of the direction by regulations under section 272. (6) In subsection (5)(a) the reference to “corresponding cases” is to persons to whom this section applies in relation to whom the Secretary of State considers it would be appropriate to take action corresponding to the direction. (7) This section applies to the following persons— (a) a person carrying on core fuel sector activities in the course of a business which has capacity in excess of 500,000 tonnes; (b) a Part 12 facility owner if the owned facility has capacity in excess of 20,000 (8) For the purposes of this Part— (a) a business “has capacity in excess of” a specified number of tonnes if in the most recently ended calendar year core fuel sector activities were carried on in that business in relation to more than that number of tonnes of core fuel; (b) a facility or infrastructure “has capacity in excess of” a specified number of tonnes if in the most recently ended calendar year it was used for the purposes of core fuel sector activities in relation to more than that number of tonnes I334 S. 269 not in force at Royal Assent, see s. 334(1) I335 S. 269 in force at 11.1.2024 by S.I. 2024/32, reg. 2(c)(ii) 270 Procedure for giving directions (1) Before giving a person a direction under section 269 the Secretary of State must give the person a written notice accompanied by a draft of the proposed direction. (2) The notice under subsection (1) must— (a) state that the Secretary of State proposes to give the person a direction in the form of the accompanying draft; (b) explain why the Secretary of State proposes to give the direction; (c) state when it is intended that the direction will come into effect; (d) specify a period within which the person may make written representations (3) The period specified under subsection (2)(d) must begin with the date on which the notice is given to the person and must be not less than 14 days.
(4) Before giving a direction under section 269, the Secretary of State must consult— (a) so far as the direction relates to relevant activities or assets in England, Scotland or Wales, the Health and Safety Executive; (b) so far as the direction relates to relevant activities or assets in England, the (c) so far as the direction relates to relevant activities or assets in Scotland, the Scottish Environment Protection Agency; (d) so far as the direction relates to relevant activities or assets in Wales, the Natural Resources Body for Wales;

Part 12 – Core fuel sector resilience Chapter 2 – Powers for resilience purposes 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) (e) so far as the direction relates to relevant activities or assets in Northern (i) the Health and Safety Executive for Northern Ireland, and (ii) the Department of Agriculture, Environment and Rural Affairs in (f) any other persons the Secretary of State thinks appropriate. (5) The Secretary of State must decide whether to give the person the proposed direction (with or without modifications), after considering any representations made by— (a) the person mentioned in subsection (1), and (b) any person consulted in accordance with subsection (4). (6) The Secretary of State must give written notice of that decision to the person (7) If the decision is to give the proposed direction, the notice must— (a) contain the direction, and (b) state the time when the direction is to take effect. (8) Consultation under subsection (4) with the Environment Agency, the Scottish Environment Protection Agency or the Natural Resources Body for Wales must be with reference to that body’s functions under the Control of Major Accident Hazards Regulations 2015 (S.I. 2015/483). (9) Consultation under subsection (4) with the Department of Agriculture, Environment and Rural Affairs in Northern Ireland must be with reference to the department’s functions under the Control of Major Accident Hazards Regulations (Northern Ireland) 2015 (S.R. (N.I.) 2015 No. 325). I336 S. 270 not in force at Royal Assent, see s. 334(1) I337 S. 270 in force at 11.1.2024 by S.I. 2024/32, reg. 2(c)(ii) 271 Offence of failure to comply with a direction Any person who, without reasonable excuse, fails to comply with a direction given to the person under section 269 commits an offence and is liable— (a) on summary conviction in England and Wales, to imprisonment for a term not exceeding the general limit in a magistrates’ court or a fine (or both); (b) on summary conviction in Scotland, to imprisonment for a term not exceeding 12 months or a fine not exceeding the statutory maximum (or both); (c) on summary conviction in Northern Ireland, to imprisonment for a term not exceeding 6 months or a fine not exceeding the statutory maximum (or both); (d) on conviction on indictment, to imprisonment for a term not exceeding 2 years I338 S. 271 not in force at Royal Assent, see s. 334(1) I339 S. 271 in force at 11.1.2024 by S.I. 2024/32, reg. 2(c)(ii)

Part 12 – Core fuel sector resilience Chapter 2 – Powers for resilience purposes 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) Corresponding powers to make regulations 272 Corresponding powers to make regulations (1) The Secretary of State may, for the purpose of maintaining or improving core fuel sector resilience, by regulations require persons of a class or description specified in the regulations to do anything in relation to their relevant activities or assets. (2) The Secretary of State may not make any provision by regulations under subsection (1) unless the Secretary of State considers that the persons mentioned in paragraphs (a) and (b) of subsection (5) have failed to make sufficient progress with the steps that the Secretary of State considers necessary for maintaining or improving core fuel sector (3) Where there is disruption to, or a failure of, continuity of supply of core fuels, the Secretary of State may by regulations require persons of a class or description specified in the regulations to do anything in relation to their relevant activities or assets which the Secretary of State considers necessary or expedient for the purpose of— (a) restoring continuity of supply of core fuels, or (b) counteracting the disruption or failure, or its potential adverse impact. (4) If the Secretary of State considers that there is a significant risk of disruption to, or a failure of, continuity of supply of core fuels, the Secretary of State may by regulations require persons of a class or description specified in the regulations to do anything in relation to their relevant activities or assets which the Secretary of State considers necessary or expedient for the purpose of— (b) reducing the potential adverse impact of the disruption or failure.
(5) A class or description specified for the purposes of subsection (1), (3) or (4) may not (a) persons carrying on core fuel sector activities in the course of a business which has capacity in excess of 1,000 tonnes, or (b) Part 12 facility owners whose owned facility has capacity in excess of 1,000 (6) Regulations under this section may provide that any person who, without reasonable excuse, fails to comply with a requirement imposed by the regulations commits an (7) Before making regulations under this section the Secretary of State must consult— (a) so far as the regulations relate to relevant activities or assets in England, Scotland or Wales, the Health and Safety Executive; (b) so far as the regulations relate to relevant activities or assets in England, the (c) so far as the regulations relate to relevant assets or activities in Scotland, the Scottish Environment Protection Agency; (d) so far as the regulations relate to relevant activities or assets in Wales, the Natural Resources Body for Wales; (e) so far as the regulations relate to relevant activities or assets in Northern (i) the Health and Safety Executive for Northern Ireland, and

Part 12 – Core fuel sector resilience Chapter 2 – Powers for resilience purposes 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) the Department of Agriculture, Environment and Rural Affairs in (f) any other persons the Secretary of State thinks appropriate. (8) Regulations under this section are subject to the affirmative procedure. (9) Consultation under subsection (7) with the Environment Agency, the Scottish Environment Protection Agency or the Natural Resources Body for Wales must be with reference to that body’s functions under the Control of Major Accident Hazards Regulations 2015 (S.I. 2015/483). (10) Consultation under subsection (7) with the Department of Agriculture, Environment and Rural Affairs in Northern Ireland must be with reference to the department’s functions under the Control of Major Accident Hazards Regulations (Northern Ireland) 2015 (S.R. (N.I.) 2015 No. 325). I340 S. 272 not in force at Royal Assent, see s. 334(1) I341 S. 272 in force at 11.1.2024 by S.I. 2024/32, reg. 2(c)(iii) 273 Power to require information (1) The Secretary of State may by notice in writing require any of the following to provide the Secretary of State with information relating to their relevant activities or assets— (a) a person carrying on core fuel sector activities in the course of a business which has capacity in excess of 1,000 tonnes; (b) a Part 12 facility owner whose owned facility has capacity in excess of 1,000 (2) The Secretary of State may by notice in writing require a relevant wetstock manager to provide the Secretary of State with information relating to the relevant activities or assets of a person carrying on core fuel sector activities to whom the relevant wetstock manager provides stock management services. (3) In this Part “relevant wetstock manager” means a person who provides to persons who make retail supplies of core fuels in the United Kingdom stock management services (4) The Secretary of State may only require information under this section for the purpose of maintaining or improving core fuel sector resilience. (5) A notice under subsection (1) or (2) may— (a) specify the manner in which information is to be provided; (b) specify time limits for providing information; (c) require information to be provided at specified intervals. (6) Before giving a person a notice under subsection (1) or (2) the Secretary of State

Part 12 – Core fuel sector resilience Chapter 2 – Powers for resilience purposes 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) notify the person in writing of the proposed contents of the notice and of the period within which the person may make written representations with respect to the proposed requirement, and (b) consider any representations made by the person. (7) The period notified under subsection (6) (a) must begin on the date on which the notification is given and (subject to subsection (8)) must be not less than 14 days. (8) The Secretary of State may notify a period under subsection (6)(a) that is less than 14 days but not less than 7 days if the Secretary of State considers that it is it is necessary to do so by reason of urgency. I342 S. 273 not in force at Royal Assent, see s. 334(1) I343 S. 273 in force at 11.1.2024 by S.I. 2024/32, reg. 2(c)(iv) (a) knows, or has reason to suspect, that a notifiable incident is occurring or has (b) meets the condition in paragraph (a), (b) or (c) of subsection (2), that person must notify the Secretary of State of the incident as soon as possible. (2) The conditions mentioned in subsection (1)(b) are that— (a) the person is carrying on core fuel sector activities in the course of a business which has capacity in excess of 500,000 tonnes; (b) the person is a Part 12 facility owner in whose case the owned facility has capacity in excess of 500,000 tonnes; (c) the person is of a class or description specified in regulations made by the Secretary of State under this subsection. (3) In this section “notifiable incident”, in relation to a person, means an incident which affects the person’s relevant activities or assets in such a way as to create a significant the continuity of supply of core fuels. (4) The Secretary of State may by notice in writing require a person who has given a notice under subsection (1) to provide further information about the incident.
(5) Before giving a person a notice under subsection (4) the Secretary of State must— (a) notify the person in writing of— (i) the proposed contents of the notice, and (ii) the period within which the person may make written representations with respect to the proposal, and (b) consider any representations made by the person. Part 12 – Core fuel sector resilience Chapter 2 – Powers for resilience purposes 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) The period notified under subsection (5)(a)(ii) must begin on the date on which the notification is given and (subject to subsection (7)) must be not less than 14 days. (7) The Secretary of State may notify a period under subsection (5)(a)(ii) that is less than 14 days but not less than 7 days if the Secretary of State considers that it is necessary to do so by reason of urgency. (8) A notice under subsection (4) may specify— (a) the manner in which information is to be provided, and (b) time limits for providing information. (9) Where a notification under subsection (1) is not made in writing, it must be confirmed in writing as soon as possible. (10) Regulations under subsection (2)(c) may specify the meaning that “relevant activities or assets” is to have in subsection (3) in relation to persons of a class or description of persons specified in the regulations. (11) Regulations under subsection (2)(c) are subject to the affirmative procedure. I344 S. 274 not in force at Royal Assent, see s. 334(1) I345 S. 274 in force at 11.1.2024 by S.I. 2024/32, reg. 2(c)(iv) 275 Contravention of requirement under section 273 or 274 (1) A person who, without reasonable excuse, fails to comply with a requirement imposed by a notice under section 273(1) or (2) or 274(4) commits an offence. (2) A person who, without reasonable excuse, fails to comply with section 274(1) commits (3) A person who commits an offence under this section is liable— (a) on summary conviction in England and Wales, to imprisonment for a term not exceeding the general limit in a magistrates’ court or a fine (or both); (b) on summary conviction in Scotland, to imprisonment for a term not exceeding 12 months or a fine not exceeding the statutory maximum (or both); (c) on summary conviction in Northern Ireland, to imprisonment for a term not exceeding 6 months or a fine not exceeding the statutory maximum (or both); (d) on conviction on indictment, to imprisonment for a term not exceeding 2 years I346 S. 275 not in force at Royal Assent, see s. 334(1) I347 S. 275 in force at 11.1.2024 by S.I. 2024/32, reg. 2(c)(iv)

Part 12 – Core fuel sector resilience Chapter 2 – Powers for resilience purposes 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) 276 Provision of information at specified intervals (1) The Secretary of State may by regulations require any of the following to provide to the Secretary of State, at intervals specified in the regulations, information relating to their relevant activities or assets— (a) a person carrying on core fuel sector activities in the course of a business which has capacity in excess of 1,000 tonnes; (b) a Part 12 facility owner whose owned facility has capacity in excess of 1,000 (2) The Secretary of State may by regulations require a relevant wetstock manager to provide to the Secretary of State, at intervals specified in the regulations, information relating to the relevant activities or assets of a person carrying on core fuel sector activities to whom the relevant wetstock manager provides stock management (3) The power to make regulations under this section may only be exercised for the purpose of maintaining or improving core fuel sector resilience. (4) The regulations may make provision about— (a) the information to be provided; (b) the manner in which information is to be provided; (c) time limits for providing information. (5) Regulations under this section may provide that any person who, without reasonable excuse, fails to comply with a requirement imposed by the regulations commits an (6) Regulations under this section are subject to the affirmative procedure. I348 S. 276 not in force at Royal Assent, see s. 334(1) I349 S. 276 in force at 11.1.2024 by S.I. 2024/32, reg. 2(c)(iv) 277 Disclosure of information held by the Secretary of State (1) Subsection (2) applies to information held by the Secretary of State which was provided to the Secretary of State under section 273, 274 or 276. (2) The information may be disclosed— (a) to any government department or devolved authority for the purpose of— (i) maintaining or improving core fuel sector resilience, or (ii) restoring, or counteracting a disruption to, or failure of, continuity of supply of core fuels (or counteracting the potential adverse impact of any such disruption or failure), or (b) if the disclosure is necessary for the purpose of criminal proceedings. (3) Nothing in this section authorises the making of a disclosure which— (a) contravenes the data protection legislation (as defined in section 3 of the Data (b) is prohibited by any of Parts 1 to 7 of, or Chapter 1 of Part 9 of, the Investigatory Powers Act 2016. Part 12 – Core fuel sector resilience Chapter 2 – Powers for resilience purposes 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) In determining whether a disclosure would fall within paragraph (a) or (b), the powers conferred by this section are to be taken into account. (4) In subsection (2) “devolved authority” means— (b) the Scottish Ministers, or (c) a Northern Ireland department.