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Section 38A Power to establish scheme for giving of benefitsF1

(1)

The Secretary of State may by regulations establish a scheme under which persons with a specified connection to qualifying premises are entitled to financial benefits provided (directly or indirectly) by electricity suppliers.

(2)

Qualifying premises must be identified by reference to their proximity to qualifying works.

(3)

Qualifying works must involve the construction, erection, expansion or improvement of electrical plant or an electric line that (in either case)—

(a)

is wholly or partly above the ground, and

(b)

forms or is intended to form part of a transmission system.

They may be works that took place before the making of the regulations or the coming into force of this section.

(4)

The regulations may (among other things)—

(a)

make further provision determining, or for the determination of, whether premises or works are qualifying;

(b)

confer functions in connection with the scheme;

(c)

provide for the delegation of functions conferred in connection with the scheme;

(d)

provide for payments by electricity suppliers to meet costs incurred in the carrying out of functions in connection with the scheme;

(e)

provide for the costs of electricity suppliers under the scheme to be distributed among suppliers on such basis, and by such means, as the regulations provide;

(f)

restrict a person’s ability to obtain payment of an amount standing to the credit of the person’s account with an electricity supplier, where that amount derives from benefits under the scheme;

(g)

make provision about cases in which a person who has received benefits under the scheme in respect of premises ceases to be entitled under the scheme in respect of the premises, including provision for the withdrawal or recovery of the benefits;

(h)

make pass-through provision and associated provision (see section 38B);

(i)

make enforcement provision (see section 38C);

(j)

make information provision (see section 38D).

(5)

To the extent that this section enables provision to be made affecting the holders of licences, provision for that purpose may be made by modifying, or empowering or requiring the Authority to modify—

(a)

the conditions of a licence, or

(b)

a document maintained in accordance with the conditions of a licence, or an agreement that gives effect to a document so maintained.

(6)

A statutory instrument containing regulations under this section may not be made unless a draft of the instrument has been laid before, and approved by a resolution of, each House of Parliament.

(7)

A draft laid under subsection (6) is not to be treated as a hybrid instrument for the purposes of the standing orders of either House of Parliament.

(8)

Regulations under this section bind the Crown unless they provide otherwise.

(9)

The Secretary of State may, out of money provided by Parliament, make payments to a person on whom functions are conferred by regulations under this section for the purposes of meeting (or helping to meet) the expenses of carrying out those functions.

Annotations

Textual amendments

F1

Ss. 38A-38D and cross-heading inserted (18.12.2025) by Planning and Infrastructure Act 2025 (c. 34), ss. 27(2), 118(1)(n) (with s. 116)

Notes on Part I

Modifications

C1

Pt. I modified (5.10.2004) by Energy Act 2004 (c. 20), ss. 184(12), 185(13), 198(2); S.I. 2004/2575, art. 2(1), Sch. 1

C2

Pt. I modified (S.) (30.11.2005) by The Electricity from Non-Fossil Fuel Sources (Scotland) Saving Arrangements Order 2005 (S.S.I. 2005/549), arts. 1(1), 9

C3

Pt. 1 excluded (30.12.2015) by The Port Talbot Steelworks Generating Station Order 2015 (S.I. 2015/1984), arts. 1, 7(2) (with art. 26)

C4

Pt. I (ss. 1-64) applied (1.10.2001) by S.I. 2001/3264, regs. 4(2), 5(2)

C5

Pt. I (ss. 1-64) amended (E.W.) (27.10.2000) by S.I. 2000/2727, art. 10

Pt. I (ss. 1-64) amended (7.11.2000) by 2000 c. 27, s. 105(1)(a); S.I. 2000/2974, art. 2, Sch. (subject to transitional provisions in arts. 3-12)

Pt. I (ss. 1-64) amended (E.W.) (1.10.2001) by S.I. 2000/2727, art. 10 (as substituted (1.10.2001) by S.I. 2001/3268, art. 2(13))