21A.—(1) (a) The Commission may invite expressions of interest from persons who are licensed suppliers to act as a supplier of last resort, that is, to supply gas in accordance with this section.

(b) Following public consultation and subject to paragraph (c), the Commission shall designate a licensed supplier to act as a supplier of last resort.

(c) The Commission may reconfirm, amend or revoke a designation made under this subsection as it sees fit.

(2) A supplier of last resort shall supply gas to final customers of another licensed supplier where—

(a) a licensed supplier with whom final customers have a supply contract ceases or fails to supply gas to those final customers in accordance with its contractual obligations, or

(b) following representations to the Commission from a licensed supplier, the Commission is of the opinion that circumstances exist which warrant a direction to that supplier of last resort to supply gas to a final customer.

(3) The Commission shall include in a designation under subsection (1) any terms, conditions or requirements considered necessary by the Commission in respect of the functions of that supplier of last resort.

(4) The Commission shall specify in a designation—

(a) the terms and conditions under which that supplier of last resort shall supply gas to a final customer, including those in relation to—

(i) duration of supply,

(ii) termination of supply, and

(iii) price,

(b) the method for calculating the charges for the supply of gas to a final customer,

(c) any other matters which the Commission considers necessary for the purpose of the supply of gas to a final customer by that supplier of last resort,

and that supplier of last resort shall comply with the matters so specified.

(5) Where a final customer is supplied with gas by a supplier of last resort, a contract for the supply of gas shall be deemed to exist between the final customer and the supplier of last resort concerned from the date upon which the supply of gas to the final customer by such supplier of last resort commences and such contract shall be subject to terms and conditions specified by the Commission in designating that supplier of last resort.]