Paragraph 4 Conditions of project licences

The following has effect as if it were inserted after section 17H (standard conditions of water supply licences)—

“Conditions of project licences

17HA.

(1)

A project licence may include—

(a)

such conditions as appear to the Authority to be requisite or expedient having regard to the duties imposed on it by Part 1 of this Act; and

(b)

conditions requiring the rendering to the Secretary of State of a payment on the grant of the project licence, or payments while the licence is in force, or both, of such amount or amounts as may be determined under the conditions.

(2)

Conditions included in a project licence may—

(a)

require the holder of the licence to comply with any direction given by a specified relevant person as to specified matters or matters which are of a specified description;

(b)

require the holder of the licence to do or not do specified things or things which are of a specified description, except in so far as a specified relevant person consents to the holder’s not doing or doing them; and

(c)

provide for the reference to and determination by a specified relevant person of specified questions, or questions which are of a specified description, which arise under or in connection with the licence.

(3)

For the purposes of subsection (2)—

(a)

the following are relevant persons—

(i)

the Secretary of State;

(ii)

the Authority; and

(iii)

the relevant quality regulators;

(b)

“specified” means specified in the licence in question.

(4)

Conditions included in a project licence may contain provision for the conditions to have effect, cease to have effect or be modified at such times, and in such manner and in such circumstances, as may be specified in or determined in accordance with the conditions.

(5)

Any such condition as is referred to in subsection (4) has effect in addition to the provision made by this Chapter with respect to the modification of the conditions of a project licence.”.