Paragraph 68 IndemnityI1
England, Wales and Scotland
Subject to sub-paragraphs (2) and (3), if by reason or in consequence of the construction of any works authorised by this Part of this Schedule or in consequence of the construction, use maintenance or failure of any of the authorised works by or on behalf of the undertaker or in consequence of any act or default of the undertaker (or any person employed or authorised by it) in the course of carrying out such works, including without limitation works carried out by the undertaker under this Part of this Schedule or any subsidence resulting from any of these works, any damage is caused to any apparatus (other than apparatus the repair of which is not reasonably necessary in view of its intended removal for the purposes of the authorised works) or property of National Grid Interconnectors, or there is any interruption in any service provided, or in the supply of any goods, by National Grid Interconnectors, or National Grid Interconnectors becomes liable to pay any amount to any third party, the undertaker will—
bear and pay on demand accompanied by an invoice or claim from National Grid Interconnectors the cost reasonably and properly incurred by National Grid Interconnectors in making good such damage or restoring the supply; and
indemnify National Grid Interconnectors for any other expenses, loss, demands, proceedings, damages, claims, penalty or costs incurred by or recovered from National Grid Interconnectors, by reason or in consequence of any such damage or interruption or National Grid Interconnectors becoming liable to any third party and including STC Claims or Incentive Deduction other than arising from any default of National Grid Interconnectors.
The fact that any act or thing may have been done by National Grid Interconnectors on behalf of the undertaker or in accordance with a plan approved by National Grid Interconnectors or in accordance with any requirement of National Grid Interconnectors or under its supervision will not (unless sub-paragraph (3) applies), excuse the undertaker from liability under the provisions of sub-paragraph (1) unless National Grid Interconnectors fails to carry out and execute the works properly with due care and attention and in a skilful and workman like manner or in a manner that does not accord with the approved plan.
Nothing in sub-paragraph (1) imposes any liability on the undertaker in respect of—
any damage or interruption to the extent that it is attributable to the neglect or default of National Grid Interconnectors, its officers, servants, contractors or agents;
any authorised works or any other works authorised by this Part of this Schedule carried out by National Grid Interconnectors pursuant to article 6 (benefit of the Order) or as an assignee, transferee or lessee of the undertaker with the benefit of the Order pursuant to section 156 of the Planning Act 2008 or 7 (consent to transfer benefit of the Order) subject to the proviso that once such works become apparatus, any authorised works yet to be executed and not falling within this sub-paragraph 68(3)(b) will be subject to the full terms of this Part of this Schedule including this paragraph; or
any indirect or consequential loss of any third party (including but not limited to loss of use, revenue, profit, contract, production, increased cost of working or business interruption) arising from any such damage or interruption, which is not reasonably foreseeable.
National Grid Interconnectors must give the undertaker reasonable notice of any such third party claim or demand and no settlement, admission of liability or compromise must, unless payment is required in connection with a statutory compensation scheme, be made without first consulting the undertaker and considering its representations.
National Grid Interconnectors must, in respect of any matter covered by the indemnity given by the undertaker in this paragraph, at all times act reasonably and in the same manner as it would as if settling third party claims on its own behalf from its own funds.
National Grid Interconnectors must use its reasonable endeavours to mitigate and to minimise any costs, expenses, loss, demands, and penalties to which the indemnity under this paragraph applies where it is within National Grid Interconnectors reasonable ability and control to do so and which expressly excludes any obligation to mitigate liability arising from third parties which is outside of National Grid Interconnectors’ control and if reasonably requested to do so by the undertaker, National Grid Interconnectors must provide an explanation of how the claim has been minimised, where relevant.
Annotations
Commencement
- I1
Sch. 13 para. 68 in force at 13.11.2025, see art. 1
Notes on the whole SI
Textual amendments
- F1
Words in Preamble substituted (6.2.2026) by The Stonestreet Green Solar (Correction) Order 2026 (S.I. 2026/131), art. 1, Sch.