Electricity Regulation Act 1999

PART III

Licences and Authorisations

Licences to generate and supply electricity.

14

F221 [ 14. (1) The Commission may grant or refuse to grant to any person a licence

( a ) to generate electricity,

( b ) to supply electricity to eligible customers,

( c ) F222 [ ]

( d ) F222 [ ]

( e ) to discharge the functions of the transmission system operator,

( f ) to discharge the functions of the transmission system owner,

( g ) to discharge the functions of the F223 [ distribution system operator, ]

( h ) to discharge the functions of the F224 [ public electricity supplier, or ]

F225 [ ( i ) to transport electricity across and F226 [ maintain an interconnector, ] ]

F227 [ ( j ) to act as the Single Electricity Market operator, ]

F228 [ ( k ) to discharge the functions of Distribution System Owner. ]

and where the Commission grants such a licence, that licence shall be subject to such terms and conditions as may be specified in the licence. ]

F229 [ (1A) The Commission may by order provide that a person generating electricity by means of a specified class or classes of generating station shall stand licensed to generate electricity subject to such terms and conditions as may be specified in such order.

(1B) The Commission may by order amend or revoke an order made under subsection (1A) of this subsection.

(1C) The Commission shall not make an order under subsection (1A) or (1B) unless a notice of intention to make such an order is published in at least one newspaper circulating in the State at least one month before the making of the order.

(1D) The draft order shall be published by the Commission in such manner as it shall determine, so as to bring it to the attention of those likely to be affected by it and the notice of intention published under subsection (1C) shall state the manner in which a copy of the draft order may be obtained. ]

(2) The Commission may grant to the Board a licence to supply electricity to eligible customers, subject to terms and conditions as may be specified in the licence.

F230 [ (2A) A licence under paragraph ( e ) of subsection (1) shall only be granted to EirGrid.

(2B) A licence under paragraph ( f ) of subsection (1) shall only be granted to the Board or a subsidiary of the Board.

(2C) A licence under paragraph ( g ) of subsection (1) shall only be granted to the Board or a subsidiary of the Board.

(2D) A licence under paragraph ( h ) of subsection (1) shall only be granted to the Board. ]

F231 [ (2DA) A licence under paragraph ( k ), of subsection (1) shall

( a ) only be granted to the Board, and

( b ) not take effect prior to the transfer date fixed under the European Communities (Internal Market in Electricity) (Electricity Supply Board) Regulations 2007. ]

F232 [ (2E) A licence under subsection (1) may include such terms and conditions relating to participation in and the operation of the Single Electricity Market as the Commission considers necessary or expedient.

(2F) The Commission may grant an exemption from the requirement to hold a licence to act as the Single Electricity Market operator to a person who holds a licence to perform corresponding functions in Northern Ireland. ]

F233 [ (2G) A licence under paragraphs ( b ), ( c ) or ( d ) of subsection (1) may include conditions to ensure that where the holder of the licence is registered in another Member State, the holder of the licence shall comply with

( a ) the conditions of the licence, and

( b ) the requirements of this Act. ]

F234 [ (2H) The holder of an electricity supply licence under subsection (1)(b) and (1)(h) shall maintain for not less than 5 years and make available on a request being made by the Commission, the Competition and Consumer Protection Commission or the European Commission all relevant data relating to all transactions in electricity supply contracts and electricity derivatives with wholesale customers and transmission system operators.

(2I) The data referred to in subsection (2H) shall include details on the characteristics of relevant transactions such as duration, delivery and settlement rules, the quantity, the dates and times of execution and the transaction prices and means of identifying the wholesale customer concerned, as well as specified details of all unsettled electricity supply contracts and electricity derivatives.

(2J) The Commission may decide to make available to market participants elements of this information provided that commercially sensitive information on individual market players or individual transactions is not released. This subsection shall not apply to information about financial instruments which fall within the scope of Directive 2004/39/EC of the European Parliament and of the Council of 21 April 2004 8 .

(2K) The obligations on undertakings under subsection (2H) with respect to transactions by them in electricity derivatives with wholesale customers and transmission system operators shall not apply until the European Commission has adopted Guidelines, referred to in Article 40 of the Electricity Market Directive, defining the methods and arrangements for record keeping as well as the form and content of the data to be kept by undertakings.

(2L) In the event that the authorities referred to in subsection (2H) require access to data kept by entities falling within the scope of Directive 2004/39/EC of the European Parliament and of the Council of 21 April 2004, the authorities responsible under that Directive shall provide them with the required data. ]

F235 [ (2M) (a) The Commission may, in carrying out its function under section 9(1F) , in a licence under subsection (1)(b) , specify such standards of performance and quality in connection with the supply of electricity to final customers as the Commission determines ought to be achieved.

(b) The holder of a licence referred to in paragraph (a) shall comply with such standards of performance as may be specified by the Commission in the licence concerned. ]

(3) Any licence granted under this section shall be deemed to contain a condition that it shall be subject to modification for the purposes of compliance with any enactment implementing, whether in whole or in part, Council Directive No. 96/92/EC of the European Parliament and of the Council of 19 December, 1996 concerning common rules for the internal market in electricity.

(4) An application for a licence under this section shall be in writing and be in such form and contain such information as the Commission may request.

(5) An application for a licence under this section shall be accompanied by such a fee, if any, as the Commission may determine to be appropriate, having regard to the application being made, and the Commission shall make information on such fees available on request.

(6) A licence granted by the Commission shall be subject to—

( a) modification in accordance with section 19 , or

( b) revocation by the Commission in accordance with this Act.

(7) Where the Commission refuses to grant a licence to a person—

( a) the person shall be notified, in writing, by the Commission of the reasons for the refusal,

( b) within 28 days of the making of a refusal, the Commission shall notify, in writing, the Commission of the European Communities of the reasons for the refusal, and

( c) the person may appeal the refusal in accordance with section 29 .

F236 [ (8)( a ) The holder of a licence granted under paragraph (a) of subsection (1) may supply electricity to the holder of a licence granted under paragraph (b), (c) or (d) of that subsection or to the Board.

( b ) The holder of a licence under paragraph (a) of subsection (1) may supply an amount of electricity to its own premises or to its own subsidiary, or subsidiaries, whether or not eligible, which does not exceed the amount of electricity produced by the holder of the licence or electricity which is purchased, in place of such electricity, in accordance with the trading arrangements provided for in any Regulations made by the Commission under section 9(1)(d) . ]

(9) A licence granted under paragraph (b), ( c) or ( d) of subsection (1) shall not authorise the supply of electricity to an eligible customer or final customer until after the 19th day of February, 2000.

(10) F237 [ ]

(11) The Commission shall monitor licensees to ensure that they continue to conform to all the conditions and requirements of their licences.

(12) The Board shall be obliged to supply electricity to the holder of a licence under subsection (1) in accordance with the trading arrangements provided for in regulations to be made by the Commission under section 9(1) (d) .

F238 [ (13) (a) Subject to such arrangements as the Commission may approve in the interest of economic efficiency in relation to the discharge by the holders of licences of their functions under paragraphs (f) and (g) of F239 [ subsection (1) ] , the Commission shall ensure that the licence granted pursuant to the said paragraph (f) shall contain provisions which

(i) secure the complete and effective separation of that part of the business of the licensee as relates to any of the ownership, maintenance and construction of the transmission system (or any part thereof) from all other parts of its business, and

(ii) require the preparation of separate accounts in respect of that part of the licensee s business which relates to the ownership, maintenance and construction of the transmission system (or any part thereof).

(b) Subject to such arrangements as the Commission may approve in the interest of economic efficiency in relation to the discharge by the holders of licences of their functions under paragraphs (f) and (g) of F240 [ subsection (1) ] , the Commission shall ensure that the licence granted pursuant to the said paragraph (g) shall contain provisions which

(i) secure the complete and effective separation of that part of the business of the licensee as relates to any of the operation, maintenance and development of the distribution system (or any part thereof) from all other parts of its business, and

(ii) require the preparation of separate accounts in respect of that part of the licensee s business which relates to the operation, maintenance and development of the distribution system (or any part thereof). ]

F241 [ (14) The Commission shall grant a licence to generate electricity pursuant to subsection (1)(a) to the Board in respect of existing generating stations which are not already licensed under this Act as soon as practicable after the coming into operation of this subsection. ]

F242 [ (15) For the purposes of this section a person acts as Single Electricity Market operator if the responsibilities of that person include responsibility, pursuant to the Trading and Settlement Code under the Single Electricity Market, for calculating charges and other payments due under that code. ]

Annotations:

Modifications (not altering text):

Amendments:

F221

Substituted (8.02.2005) by European Communities (Internal Market in Electricity) Regulations 2005 (S.I. No. 60 of 2005), reg. 16(a).

F222

Repealed (28.03.2011) by European Communities (Renewable Energy) Regulations 2011 (S.I. No 147 of 2011), reg. 12.

F223

Substituted (23.05.2007) by Energy (Miscellaneous Provisions) Act 2006 (40/2006), s. 8(3)(a), S.I. No. 266 of 2007.

F224

Substituted (23.05.2007) by Energy (Miscellaneous Provisions) Act 2006 (40/2006), s. 8(3)(b), S.I. No. 266 of 2007.

F225

Inserted (23.05.2007) by Energy (Miscellaneous Provisions) Act 2006 (40/2006), s. 8(3)(c), S.I. No. 266 of 2007.

F226

Substituted (1.01.2009) by European Communities (Internal Market in Electricity) (Electricity Supply Board) Regulations 2008 (S.I. No. 280 of 2008), s. 22(a)(i), commenced on transfer date as per reg. 1(2) and notice in Iris Oifigiúil of 30 December 2008, No. 105 p. 1537.

F227

Inserted (18.06.2007) by Electricity Regulation (Amendment) (Single Electricity Market) Act 2007 (5/2007), s. 12(a)(iv), S.I. No. 287 of 2007.

F228

Inserted (1.01.2009) by European Communities (Internal Market in Electricity) (Electricity Supply Board) Regulations 2008 (S.I. No. 280 of 2008), s. 22(a)(iii), commenced on transfer date as per reg. 1(2) and notice in Iris Oifigiúil of 30 December 2008, No. 105 p. 1537.

F229

Inserted (8.02.2005) by European Communities (Internal Market in Electricity) Regulations 2005 (S.I. No. 60 of 2005), reg. 16(b).

F230

Inserted (8.02.2005) by European Communities (Internal Market in Electricity) Regulations 2005 (S.I. No. 60 of 2005), reg. 16(c).

F231

Inserted (1.01.2009) by European Communities (Internal Market in Electricity) (Electricity Supply Board) Regulations 2008 (S.I. No. 280 of 2008), s. 22(b), commenced on transfer date as per reg. 1(2) and notice in Iris Oifigiúil of 30 December 2008, No. 105 p. 1537.

F232

Inserted (18.06.2007) by Electricity Regulation (Amendment) (Single Electricity Market) Act 2007 (5/2007), s. 12(b), S.I. No. 287 of 2007.

F233

Inserted (1.12.2011) by European Communities (Internal Market in Natural Gas and Electricity) Regulations 2011 (S.I. No. 630 of 2011), reg. 40(5).

F234

Inserted (19.01.2015) by European Communities (Internal Market in Natural Gas and Electricity) (Amendment) Regulations 2015 (S.I. No. 16 of 2015), reg. 26(3).

F235

Inserted (28.04.2017) by Energy Act 2016 (12/2016), s. 15, S.I. No. 171 of 2017.

F236

Substituted (20.12.2000) by European Communities (Internal Market in Electricity) Regulations 2000 (S.I. No. 445 of 2000), reg. 32, in effect as per reg. 1(2)(a).

F237

Repealed (17.04.2001) by Electricity (Supply) (Amendment) Act 2001 (9/2001), s. 9(a)(iii), commenced on enactment.

F238

Inserted (20.12.2000) by European Communities (Internal Market in Electricity) Regulations 2000 (S.I.No. 445 of 2000), reg. 32(1)(c), in effect as per reg. 1(2)(a).

F239

Substituted (8.02.2005) by European Communities (Internal Market in Electricity) Regulations 2005 (S.I. No. 60 of 2005) reg. 16(d)(i).

F240

Substituted (8.02.2005) by European Communities (Internal Market in Electricity) Regulations 2005 (S.I. No. 60 of 2005), reg. 16(d)(ii).

F241

Inserted (8.02.2005) by European Communities (Internal Market in Electricity) Regulations 2005 (S.I. No. 60 of 2005), reg. 16(e).

F242

Inserted (18.06.2007) by Electricity Regulation (Amendment) (Single Electricity Market) Act 2007 (5/2007), s. 12(c), S.I. No. 287 of 2007.

C15

Term “licence” construed (10.04.2002) by Gas (Interim) (Regulation) Act 2002 (10/2002), s. 16(17)(a), commenced on enactment.

Natural Gas Licence

17.(a) in sections 14(7), 29, 30 and 32 of the Act of 1999 to a licence shall be construed as including a reference to a natural gas licence and an order made under section 2 (1) of the Gas (Amendment) Act, 1987,

...

Editorial Notes:

E64

Licences issued under subs. (1)(c) and (d) deemed to be licences granted by CER under subs. (1)(b) (23.10.2014) by European Union (Renewable Energy) Regulations 2014 (S.I. No. 483 of 2014), reg. 12.

E65

Power pursuant to subs. (1A) exercised (25.09.2008) by Electricity Regulation Act 1999 (Section 14(1A) Order 2008 (S.I. No. 384 of 2008), in effect as per reg. 2.

E66

Obligations of licence holders under subs. (1) prescribed (3.07.2007) by Electricity Regulation Act 1999 (Single Electricity Market) Regulations 2007 (S.I. No. 406 of 2007), regs. 3, 5(1).

E67

Limited exemption for a licence holder under subs. (1)(a) prescribed (3.07.2007) by Electricity Regulation Act 1999 (Single Electricity Market) Regulations 2007 (S.I. No. 406 of 2007), reg. 5(3).

E68

Licences under subs. (1)(h) are subject to conditions prescribed (8.02.2005) by European Communities (Internal Market in Electricity) Regulations 2005 (S.I. No. 60 of 2005), reg. 17(1).

E69

Issue of licences under subs. (1)(e)-(g) prior to 1.07.2006 (date specified by Commission in Decision CER/06/123 Part 1.4) restricted (20.06.2001) by European Communities (Internal Market in Electricity) Regulations 2000 (S.I. No. 445 of 2000), reg. 5(1) and reg. 32(2), (as para. (2) substituted (8.02.2005) by European Communities (Internal Market in Electricity) Regulations 2005 (S.I. No. 60 of 2005), reg. 36(11)), in effect as per reg. 3 and notice of Minister in Iris Oifigiúil of 22 June 2001, No. 50 p. 822.

E70

Previous affecting provision: subs. (1)(i) amended (18.06.2007) by Electricity Regulation (Amendment) (Single Electricity Market) Act 2007 (5/2007), s. 12(a) (iii), S.I. No. 287 of 2007; substituted as per F-note above.

E71

Previous affecting provision: subs. (1)(c) amended (18.06.2007) by Electricity Regulation (Amendment) (Single Electricity Market) Act 2007 (5/2007), s. 12(a)(i), S.I. No. 287 of 2007; repealed as per F-note above.

E72

Previous affecting provision: subs. (1)(d) amended (18.06.2007) by Electricity Regulation (Amendment) (Single Electricity Market) Act 2007 (5/2007), s. 12(a)(ii), S.I. No. 287 of 2007; repealed as per F-note above.

E73

Previous affecting provision: subs. (1)(d) amended (29.07.2009) by Energy (Miscellaneous Provisions) Act 2006 (40/2006), s. 6(c), S.I. No. 298 of 2009 (as amended (18.06.2007) by Electricity Regulation (Amendment) (Single Electricity Market) Act 2007 (5/2007), s. 20, S.I. No. 287 of 2007); repealed as per F-note above.

E74

Previous affecting provision: subs. (1)(c), (d) substituted (24.12.2006) by Energy (Miscellaneous Provisions) Act 2006 (40/2006), s. 5, commenced on enactment; repealed as per F-note above.

E75

Previous affecting provision: subs. (1)(c) amended (17.04.2001) by Electricity (Supply) (Amendment) Act 2001 (9/2001), s. 9(a)(i), commenced on enactment; repealed as per F-note above.

E76

Previous affecting provision: subs. (1)(d) substituted (17.04.2001) by Electricity (Supply) (Amendment) Act 2001 (9/2001), s. 9(a)(ii), commenced on enactment; repealed per F-note above.

E77

Previous affecting provision: subs. (1)(c) amended (20.12.2000) by European Communities (Internal Market in Electricity) Regulations 2000 (S.I. No. 445 of 2000), reg. 32(1)(a), commenced as per reg. 1(2)(a); repealed as per F-note above.

8 OJ No. L 145, 30.04.2004, p. 1