Gas Act 1995 (c. 45)

(The document as of February, 2008)

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Power of Council to investigate other matters

33 (1) In subsection (2) of section 33 of the 1986 Act (power of Council to investigate other matters), for the words "public gas suppliers" there shall be substituted the words "gas suppliers".

(2) In subsection (3) of that section, the words "but nothing in this subsection shall require the Council to send any such copy to the Director" shall cease to have effect.

(3) After that subsection there shall be inserted the following subsection--

" (4) References in this section to gas suppliers include references to persons supplying gas which they are authorised to supply by paragraph 1 of Schedule 2A to this Act. "

Standards of performance in individual cases

34 (1) In subsection (1) of section 33A of the 1986 Act (standards of performance in individual cases), for the words "public gas suppliers to tariff customers" there shall be substituted the words "gas suppliers to domestic customers".

(2) In subsection (2) of that section, for the words "the public gas suppliers" there shall be substituted the words "gas suppliers".

(3) In subsection (3) of that section--

(a) for the words "public gas suppliers", in each place where they occur, there shall be substituted the words "gas suppliers";

(b) for the words "tariff customers" there shall be substituted the words "domestic customers"; and

(c) at the beginning of paragraph (d) there shall be inserted the words "if the Director is of the opinion that the differences are such that no gas supplier would be unduly disadvantaged in competing with other gas suppliers,".

(4) In subsection (4) of that section--

(a) for the words "public gas supplier" there shall be substituted the words "gas supplier"; and

(b) for the words "tariff customer" there shall be substituted the words "domestic customer".

(5) Subsections (10) and (11) of that section shall cease to have effect.

Overall standards of performance

35 (1) In subsection (1) of section 33B of the 1986 Act (overall standards of performance), for the words "public gas suppliers" there shall be substituted the words "gas suppliers".

(2) In subsection (2) of that section, for the words "the public gas suppliers" there shall be substituted the words "gas suppliers".

(3) For subsection (3) of that section there shall be substituted the following subsections--

" (3) Different standards may be determined for different gas suppliers if the Director is of the opinion that the differences are such that no gas supplier would be unduly disadvantaged in competing with other gas suppliers.

(3A) Standards may be determined either as respects the provision of gas supply services generally or as respects the provision of such services to customers of a particular class or description. "

(4) In subsection (4) of that section, for the words "public gas supplier" there shall be substituted the words "gas supplier".

Standards for promoting efficient use of gas

36 After section 33B of the 1986 Act there shall be inserted the following section--

" 33BB Standards for promoting efficient use of gas

(1) The Director may, after consulting gas suppliers and persons or bodies appearing to him to be representative of persons likely to be affected, from time to time--

(a) determine such standards of performance in connection with the promotion of the efficient use of gas by consumers as, in his opinion, ought to be achieved by gas suppliers; and

(b) arrange for the publication, in such form and in such manner as he considers appropriate, of the standards so determined.

(2) Different standards may be determined for different gas suppliers if the Director is of the opinion that the differences are such that no gas supplier would be unduly disadvantaged in competing with other gas suppliers.

(3) Each gas supplier shall, in such form and manner and with such frequency as the Director may direct, take steps to inform his customers of--

(a) the standards determined under this section which are applicable to that supplier; and

(b) that supplier's level of performance as respects those standards. "

Information with respect to levels of performance

37 (1) In subsection (1) of section 33C of the 1986 Act (information with respect to levels of performance), for the words "public gas suppliers", in each place where they occur, there shall be substituted the words "gas suppliers".

(2) In subsection (2) of that section--

(a) for the words "public gas supplier" there shall be substituted the words "gas supplier"; and

(b) for the words "section 15B or 33B" there shall be substituted the words "section 33B or 33BB".

(3) In subsection (3) of that section, for the words "public gas supplier" there shall be substituted the words "gas supplier".

(4) In subsection (4) of that section, for the words "public gas suppliers" there shall be substituted the words "gas suppliers".

Information to be given to customers about overall performance

38 (1) In subsection (1) of section 33D of the 1986 Act (information to be given to customers about overall performance), for the words "public gas supplier" there shall be substituted the words "gas supplier".

(2) After subsection (2) of that section there shall be inserted the following subsection--

" (3) Where the standards of performance mentioned in subsection (1) above relate to the provision of gas supply services to customers of a particular class or description, the reference in that subsection to the supplier's customers shall be construed as a reference to such of his customers as are of that class or description. "

Procedures for dealing with complaints

39 (1) In subsection (1) of section 33E of the 1986 Act (procedures for dealing with complaints)--

(a) for the words "public gas supplier" there shall be substituted the words "gas supplier who is authorised to supply gas to domestic customers and whose licence incorporates the standard conditions"; and

(b) for the words "tariff customers or potential tariff customers" there shall be substituted the words "domestic customers or potential domestic customers".

(2) In subsections (2), (3), (4) and (6) of that section, for the words "public gas supplier", in each place where they occur, there shall be substituted the words "gas supplier".

General functions of Director

40 (1) In subsection (1) of section 34 of the 1986 Act (general functions of Director), for the words "activities connected with the supply of gas through pipes" there shall be substituted the following paragraphs--

" (a) such activities as are mentioned in section 5(1) above; and

(b) activities ancillary to such activities (including in particular the storage of gas, the provision and reading of meters and the provision of pre-payment facilities). "

(2) In subsection (2) of that section, for the words "the supply of gas through pipes, and the persons providing such supplies" there shall be substituted the following paragraphs--

" (a) the carrying on of such activities as are mentioned in subsection (1) above; and

(b) the persons by whom such activities are carried on, " .

(3) In subsection (4) of that section, after the words "function of the Director" there shall be inserted the words "or the Secretary of State."

(4) After that subsection there shall be inserted the following subsection--

" (5) The Director shall have power to make agreements with the Health and Safety Commission for the Director to perform on behalf of that Commission or the Health and Safety Executive (with or without payment) any of the functions of that Commission or, as the case may be, that Executive. "

Publication of information and advice

41 In subsection (1) of section 35 of the 1986 Act (publication of information and advice), for the words "tariff customers and potential tariff customers of public gas suppliers" there shall be substituted the words "customers and potential customers of gas suppliers".

Keeping of register

42 (1) In subsection (1) of section 36 of the 1986 Act (keeping of register)--

(a) for the words "section 6 above" there shall be substituted the words "paragraph 5 of Schedule 2A to this Act"; and

(b) for the words "authorisations under section 7 or 8" there shall be substituted the words "licences under section 7 or 7A".

(2) In subsection (2) of that section--

(a) for the words "section 6 above" there shall be substituted the words "paragraph 5 of Schedule 2A to this Act";

(b) after the words "particular class" there shall be inserted the words "and every direction under subsection (5) of that section";

(c) for the words "authorisation under section 7 or 8" there shall be substituted the words "licence under section 7 or 7A"; and

(d) for the words "such an authorisation" there shall be substituted the words "such a licence".

Functions with respect to competition

43 After section 36 of the 1986 Act there shall be inserted the following section--

" 36A Functions with respect to competition

(1) If and to the extent that he is requested by the Director General of Fair Trading to do so, it shall be the duty of the Director to exercise the functions of that Director under Part III of the [1973 c. 41.] Fair Trading Act 1973 ("the 1973 Act") so far as relating to courses of conduct which are or may be detrimental to the interests of consumers of gas conveyed through pipes, whether those interests are economic or interests in respect of health, safety or other matters; and references in that Part to that Director shall be construed accordingly.

(2) There are hereby transferred to the Director (so as to be exercisable concurrently with the Director General of Fair Trading)--

(a) the functions of that Director under sections 44 and 45 of the 1973 Act;

(b) the functions of that Director under sections 50, 52, 53, 86 and 88 of that Act; and

so far as relating to monopoly situations which exist or may exist in relation to commercial activities connected with the carrying on of activities to which this subsection applies; and references in Part IV and sections 86, 88 and 133 of that Act to that Director shall be construed accordingly.

(3) There are hereby transferred to the Director (so as to be exercisable concurrently with the Director General of Fair Trading) the functions of that Director under sections 2 to 10 and 16 of the [1980 c. 21.] Competition Act 1980 ("the 1980 Act") so far as relating to courses of conduct which have or are intended to have or are likely to have the effect of restricting, distorting, or preventing competition in connection with the carrying on of activities to which this subsection applies; and references in those sections and in section 19 of that Act to that Director shall be construed accordingly.

(4) Subsections (2) and (3) above apply to--

(a) such activities as are mentioned in section 5(1) above; and

(b) activities ancillary to such activities as are so mentioned (including in particular the storage of gas, the provision and reading of meters and the provision of pre-payment facilities).

(5) Before either Director first exercises in relation to any matter functions transferred by any of the following provisions, namely--

(a) paragraph (a) of subsection (2) above;

(b) paragraph (b) of that subsection;

(d) subsection (3) above,

he shall consult the other Director; and neither Director shall exercise in relation to any matter functions transferred by any of those provisions if functions transferred by that provision have been exercised in relation to that matter by the other Director.

(6) It shall be the duty of the Director, for the purpose of assisting the Monopolies Commission in carrying out an investigation on a reference made to them by the Director by virtue of subsection (2) or (3) above, to give to the Commission--

(a) any information which is in his possession and which relates to matters falling within the scope of the investigation and--

(i) is requested by the Commission for that purpose; or

(ii) is information which in his opinion it would be appropriate for that purpose to give to the Commission without any such request; and

(b) any other assistance which the Commission may require and which it is within his power to give, in relation to any such matters,

and the Commission shall, for the purposes of carrying out any such investigation, take into account any information given to them for that purpose under this subsection.

(7) If any question arises as to whether subsection (2) or (3) above applies to any particular case, that question shall be referred to and determined by the Secretary of State; and no objection shall be taken to anything done under--

(a) Part IV or section 86 or 88 of the 1973 Act; or

(b) sections 2 to 10 of the 1980 Act,

by or in relation to the Director on the ground that it should have been done by or in relation to the Director General of Fair Trading.

(8) Section 93B of the 1973 Act (offences of supplying false or misleading information to the Secretary of State, the Director General of Fair Trading or the Monopolies Commission in connection with their functions under Parts IV, V, VI or VIII of the 1973 Act or under the 1980 Act) shall have effect, so far as relating to functions exercisable by the Director by virtue of subsection (2) or (3) above, as if the reference in subsection (1)(a) of that section to the Director of Fair Trading included a reference to the Director.

(9) Expressions used in this section which are also used in the 1973 Act or the 1980 Act have the same meanings as in that Act.

(10) Any reference in this Part to functions of the Director under this Part, or to functions assigned to him by or under this Part, includes a reference to functions transferred to the Director by subsection (2) or (3) above. "

Functions with respect to gas measuring equipment etc.

44 After section 36A of the 1986 Act there shall be inserted the following section--

" 36B Functions with respect to gas measuring equipment etc

(1) If and to the extent that the Secretary of State so directs, the functions of the Secretary of State under section 6 of the [1985 c. 72.] Weights and Measures Act 1985 (testing of standards and equipment) so far as relating to--

(a) any article used or proposed to be used as a standard of a unit of measurement in relation to gas;

(b) any measuring equipment, or other metrological equipment, for use in relation to gas; or

shall be exercisable by the Director concurrently with the Secretary of State; and references in that section to the Secretary of State shall be construed accordingly.

(2) Any sums received by the Director by virtue of this section shall be paid into the Consolidated Fund. "

Maximum prices for reselling gas

45 For section 37 of the 1986 Act there shall be substituted the following section--

" 37 Maximum prices for reselling gas

(1) The Director shall from time to time direct that the maximum prices at which gas supplied by gas suppliers may be resold--

(a) shall be such as may be specified in the direction; or

(b) shall be calculated by such method and by reference to such matters as may be so specified,

and shall publish directions under this section in such manner as in his opinion will secure adequate publicity for them.

(2) A direction under this section may--

(a) require any person who resells gas supplied by a gas supplier to furnish the purchaser with such information as may be specified or described in the direction; and

(b) provide that, in the event of his failing to do so, the maximum price applicable to the resale shall be such as may be specified in the direction, or shall be reduced by such amount or such percentage as may be so specified.

(3) Different directions may be given under this section as respects different classes of cases, which may be defined by reference to areas or any other relevant circumstances.

(4) If any person resells any gas supplied by a gas supplier at a price exceeding the maximum price determined by or under a direction under this section and applicable to the resale--

(a) the amount of the excess; and

(b) if the direction so provides, interest on that amount at a rate specified or described in the direction,

shall be recoverable by the purchaser.

(5) Nothing in this section shall apply in relation to the resale of gas for use in a motor vehicle which is constructed or adapted to use gas as fuel for its propulsion. "

Power to require information etc.

46 (1) In subsection (1) of section 38 of the 1986 Act (power to require information etc.)--

(a) for the words "public gas supplier" there shall be substituted the words "licence holder"; and

(b) the words from "but no person" to the end shall cease to have effect.

(2) After that subsection there shall be inserted the following subsections--

" (1A) Where a licence has been or is to be revoked or suspended, or has expired or is about to expire by effluxion of time, and it appears to the Director, having regard to the duties imposed by section 4 or 4A above, to be requisite or expedient to do so for any purpose connected with the revocation, suspension or expiry, the Director may, with the consent of the Secretary of State, by notice signed by him--

(a) require the licence holder to produce, at a time and place specified in the notice, to the Director, or to any person so specified, any records which are specified or described in the notice and are in the licence holder's custody or under his control; or

(b) require the licence holder to furnish to the Director, or to any person specified in the notice, such information as may be specified or described in the notice, and specify the time, the manner and the form in which any such information is to be furnished.

(1B) No person shall be compelled for any such purpose as is mentioned in subsection (1) or (1A) above to produce any documents or records which he could not be compelled to produce in civil proceedings before the court or, in complying with any requirement for the furnishing of information, to give any information which he could not be compelled to give in evidence in such proceedings. "

(3) In subsections (2) and (4) of that section, after the words "subsection (1)" there shall be inserted the words "or (1A)".

Duty to consider representations and give reasons

47 After section 38 of the 1986 Act there shall be inserted the following section--

" 38A Duty to consider representations and give reasons

(1) The Secretary of State may by order exercise any one or more of the powers conferred by subsections (2) to (4) below.

(2) This subsection confers power to provide that, before the Director makes a specified decision in relation to a licence holder, the Director--

(a) shall give to the licence holder a written notice stating--

(i) that he is considering making the decision and the reasons why he is considering doing so; and

(ii) that the licence holder may, within a period specified in the notice, make written representations to him or, if the licence holder so requests, make oral representations to a person appointed by him for the purpose; and

(b) shall consider any representations which are duly made and not withdrawn.

(3) This subsection confers power to provide that, where the Director makes a specified decision in relation to a licence holder, the Director shall as soon as practicable give to the licence holder a written notice explaining why it appeared to him to be appropriate to make the decision.

(4) This subsection confers power to provide that, where a specified decision made or proposed to be made in relation to a licence holder will or may materially affect any specified person, any provision made by virtue of subsection (2) or (3) above shall, with any specified modifications, apply in relation to that person.

(5) Nothing in any order made under this section shall require the Director to disclose any information the disclosure of which he considers would or might seriously and prejudicially affect the interests of a particular individual or body of persons, whether corporate or unincorporate.

(6) An order under this section--

(a) may make different provision in relation to different cases or different circumstances; and

(b) shall be made by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament.

(7) In this section--

"decision" means any decision under this Part, or under a condition of a licence, other than a decision to make a provisional order under section 28 above;
"specified", in relation to an order under this section, means specified in the order or of a description so specified;

and references to a licence holder include references to an applicant for a licence. "

Annual and other reports

48 After subsection (2) of section 39 of the 1986 Act (annual and other reports) there shall be inserted the following subsection--

" (2A) Every such report shall also include--

(a) a general statement as to the extent to which, during the year to which it relates, there has been effective competition in the carrying on of activities the carrying on of which is required to be licensed under section 7A above; and

(b) a general survey of developments during that year in respect of such competition. "

General duty of Council to advise Director

49 In section 40 of the 1986 Act (general duty of Council to advise Director), the words "which relates to tariff customers and" shall cease to have effect.

General restrictions on disclosure of information

50 (1) After subsection (1) of section 42 of the 1986 Act (general restrictions on disclosure of information) there shall be inserted the following subsections--

" (1A) Subsection (1) above does not apply to any disclosure of information if--

(a) the disclosure is required by a notice under subsection (1) or (1A) of section 38 above;

(b) the information has been obtained in pursuance of a notice under subsection (1A) of that section; or

(c) the disclosure is made by one licence holder to another and is required either by a condition of the disclosing licence holder's licence, or by the other licence holder for purposes connected with the carrying on of relevant activities.

(1B) In subsection (1A) above "relevant activities", in relation to a licence holder, means--

(a) activities which he is authorised by his licence to carry on; and

(b) in the case of a public gas transporter, such activities as are mentioned in section 7(1)(b) and (c) above. "

(2) After subsection (3) of that section there shall be inserted the following subsection--

" (3A) The Secretary of State may by order provide that any of subsections (1A) to (3) above shall have effect subject to such modifications as are specified in the order. "

Making of false statements etc.

51 After subsection (1) of section 43 of the 1986 Act (making of false statements etc.) there shall be inserted the following subsection--

" (1A) Any person who with intent to deceive--

(a) impersonates an officer of a public gas transporter, gas supplier or gas shipper for the purpose of obtaining entry to any premises; or

(b) for that purpose makes any statement or does any act calculated falsely to suggest that he is an officer, or an authorised officer, of such a transporter, supplier or shipper,

shall be guilty of an offence and liable on summary conviction to a fine not exceeding level 4 on the standard scale. "

Service of notices etc.

52 (1) In subsection (1) of section 46 of the 1986 Act (service of notices etc.), the words "Subject to subsection (2) below" shall cease to have effect.

(2) For subsections (2) and (3) of that section there shall be substituted the following subsections--

" (2) Without prejudice to subsection (1) above, where this subsection applies in relation to a public gas transporter or gas supplier, any notice to be given to or served on the transporter or supplier under--

(a) any condition of his licence;

(b) any provision of Schedule 2B to this Act; or

may be given or served by delivering it at, or sending it in a prepaid letter to, an appropriate office of the transporter or supplier.

(3) Subsection (2) above applies in relation to a public gas transporter if he divides his authorised area into such areas as he thinks fit and--

(a) in the case of each area, fixes offices of his which are to be appropriate offices in relation to notices relating to matters arising in that area; and

(b) publishes in each area, in such manner as he considers adequate, the addresses of the offices fixed by him for that area.

(4) Subsection (2) above applies in relation to a gas supplier if he divides the premises specified in his licence into such areas as he thinks fit and--

(a) in the case of each area, fixes offices of his which are to be appropriate offices in relation to notices relating to matters arising in that area;

(b) publishes in each area, in such manner as he considers adequate, the addresses of the offices fixed by him for that area; and

(c) endorses on every demand note for gas charges payable to him the addresses of the offices fixed for the area in question.

(5) In this section references to premises specified in a licence include references to premises of a description, or situated in an area, so specified. "

Provisions as to regulations

53 (1) In subsection (3) of section 47 of the 1986 Act (provisions as to regulations)--

(a) for paragraph (aa) there shall be substituted the following paragraph--

" (aa) provide for anything falling to be determined under the regulations to be determined--

(i) by the Director or by such other person as may be prescribed by the regulations; and

(ii) in accordance with such procedure and by reference to such matters and to the opinion of such persons as may be so prescribed; " and

(b) in paragraph (b), after the words "the Secretary of State" there shall be inserted the words "or, as the case may be, the Director".

(2) In subsection (5) of that section, after the words "the Secretary of State" there shall be inserted the words ", the Director".

(3) For subsection (7) of that section there shall be substituted the following subsection--

" (7) Any power to make regulations conferred by this Part on the Secretary of State or the Director shall be exercisable by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament; and the [1946 c. 36.] Statutory Instruments Act 1946 shall apply to any such power so conferred on the Director as if he were a Minister of the Crown. "

Interpretation of Part I and savings

54 (1) In subsection (1) of section 48 of the 1986 Act (interpretation of Part I and savings)--

(a) in the definition of "authorised area", for the word "supplier" there shall be substituted the word "transporter";

(b) in the definition of "distribution main", for the word "supplier", in each place where it occurs, there shall be substituted the word "transporter";

" "domestic customer" has the meaning given by section 15A(10) above; " ;

(d) after the definition of "gas fittings" there shall be inserted the following definition--

" "gas supplier" and "gas shipper" have the meanings given by section 7A(11) above; " ;

(e) after the definition of "kilowatt hour" there shall be inserted the following definitions--

" "licence" and "licence holder" have the meanings given by section 4(5) above; " ;

(f) after the definition of "notice" there shall be inserted the following definitions--

" "officer", in relation to any person, includes any servant or agent of that person, and any officer or servant of such an agent;

"owner", in relation to any premises or other property, includes a lessee, and cognate expressions shall be construed accordingly; "

(g) in the definition of "prescribed", for the words "(except in section 33A above)" there shall be substituted the words "made, unless the context otherwise requires, by the Secretary of State";

(h) for the definition of "public gas supplier" there shall be substituted the following definition--

" "public gas transporter" has the meaning given by section 7(1) above; " ;

(i) the definition of "regulations" shall cease to have effect;

(j) immediately before the definition of "subsidiary" there shall be inserted the following definitions--

" "service pipe" means a pipe, other than a distribution main of a public gas transporter, which is used for the purpose of conveying gas from such a main to any premises, and includes part of any such pipe;

"storage", in relation to gas, means storage in, or in a facility which is connected (directly or indirectly) to, a pipe-line system operated by a public gas transporter; " and

(k) the definition of "tariff customer" shall cease to have effect.

(2) After subsection (1) of that section there shall be inserted the following subsection--

" (1A) In this Part any reference to an officer authorised by any person includes, in relation to an officer who is an officer or servant of an agent of that person, an officer who, in accordance with the terms of any written authority given by that person to the agent, is authorised by the agent on behalf of that person. "

(3) In subsection (2) of that section, for paragraphs (a) and (b) there shall be substituted the words "to the supply of gas (directly or indirectly) to a public gas transporter, gas supplier or gas shipper".

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