The Gas Act 1986 (Exemption) (No. 2) Order 2005

• Citation: S.I. 2005/280
• Sections: 4

Section 1 Citation, commencement and provision for revocation

(1) This Order may be cited as the Gas Act 1986 (Exemption) (No. 2) Order 2005.

(2) This Order shall come into force on 1st May 2005.

Section 2 Interpretation

In this Order–

“connection point” means any of the following —

any entry or offtake point on a DN where a DN is connected to another DN;

any entry point on a DN operated by a relevant gas transporter where an LNG storage facility operated by another relevant gas transporter is connected to that DN;

any offtake point on the NTS or entry point on a DN where a DN is connected to the NTS;

any offtake point on the NTS where Stranraer gas is taken out;

any offtake point on the NTS where relevant gas is taken out;

“DN” means a regional distribution pipe-line system connected to the NTS which is primarily used for the conveyance of gas to premises and which is owned and operated by Transco plc at the date hereof;

“LNG storage facility” means a storage facility for the storage of liquid gas;

“relevant gas interconnectors” means the gas interconnector between Stranraer in Scotland and Ballylumford in Northern Ireland and the gas interconnector between Moffat in Scotland and Loughshinny in the Republic of Ireland;

“NTS” means the high pressure pipe-line system (excluding any DN) which is owned and operated by Transco plc at the date hereof and which is primarily used for the conveyance of gas to other pipe-line systems (including DNs);

“relevant gas” means gas which an operator of a DN arranges to take out of the NTS for introduction into an LNG storage facility;

“relevant gas shipping arrangements” means arrangements made by a relevant gas transporter with another relevant gas transporter for gas to be introduced into a DN, taken out of a DN or taken out of the NTS, at a connection point.

“relevant gas transporter” means a gas transporter who operates a DN or the NTS;

“Stranraer gas” means gas which an operator of a DN arranges to take out of the NTS at Moffat so that it may be conveyed through the relevant gas interconnectors to that DN; and

“Transco plc” means the company registered in England and Wales under number 2006000.

Section 3 Exemption in respect of certain shipping arrangements

(1) Subject to paragraph (2), an exemption is hereby granted from section 5(1)(c) of the Gas Act 1986 (prohibition on unlicensed shipping arrangements) to a relevant gas transporter in respect of relevant gas shipping arrangements.

(2) The exemption granted by paragraph (1) shall cease to have effect in relation to a relevant gas transporter if he fails to comply with the condition specified in article 4.

Section 4 Condition

(1) Subject to paragraph (2), a relevant gas transporter shall comply with any direction given by the Authority to provide it with such information concerning any relevant gas shipping arrangements, in such manner and at such times as the Authority may reasonably require, for the purpose of facilitating the performance by it of its functions under the Gas Act 1986, the Utilities Act 2000 or the Energy Act 2004 .

(2) No relevant gas transporter shall be regarded as having failed to comply with any direction given by the Authority pursuant to paragraph (1) where that failure is attributable to an incident beyond his control.