Electricity Regulation (Amendment) (Single Electricity Market) Act 2007

Arrangements and agreements relating to transmission system and All-Island Transmission Networks.

17.— The Act of 1999 is amended by the insertion after section 34A (inserted by section 8 of the Energy (Miscellaneous Provisions) Act 2006 ) of the following section:

“Arrangements and agreements relating to transmission system and All-Island Transmission Networks.

34B.— (1) Where the Single Electricity Market is in operation the Commission may direct the transmission system operator to seek to enter into and maintain in force such arrangements as are necessary to—

(a) enable the transmission system operator, subject to such terms and conditions as may be specified by the Commission in any direction, to offer any person who makes an application pursuant to section 34(1), an agreement for connection to the transmission system or use of the All-Island Transmission Networks,

(b) enable the Northern Ireland System Operator to offer any person who makes an application to the Northern Ireland System Operator, an agreement for connection to the Northern Ireland Transmission System or use of the All-Island Transmission Networks.

(2) The Commission may make regulations for the purposes of subsection (1).

(3) Without prejudice to the generality of subsection (2), regulations under subsection (2) may—

(a) prescribe those matters in respect of which the Commission may make directions including, without limitation, directions in relation to—

(i) the basis upon which payments are to be made by the transmission system operator to the Northern Ireland System Operator and by the Northern Ireland System Operator to the transmission system operator, in each case in relation to connection to the transmission system, connection to the Northern Ireland Transmission System and use of the All-Island Transmission Networks, and

(ii) the method for determining the proportion of the costs to be borne by the person making an application for connection to the transmission system and the proportion to be borne by the transmission system operator,

(b) prescribe the circumstances in which the transmission system operator can refuse to make an offer to an applicant to enter into an agreement for connection to the transmission system or use of the All-Island Transmission Networks,

(c) prescribe the circumstances in which the transmission system operator can refuse to make an offer to enter into an arrangement with the Northern Ireland System Operator pursuant to subsection (1),

(d) provide for the resolution of disputes between the transmission system operator and any applicant for an offer to enter into an agreement for connection to the transmission system or use of the All-Island Transmission Networks or any person who has entered into an agreement with the transmission system operator for connection to the transmission system or use of the All-Island Transmission Networks,

(e) provide for the resolution of disputes between the transmission system operator and the Northern Ireland System Operator in connection with any arrangement entered into or sought to be entered into pursuant to subsection (1),

(f) provide for the basis upon which charges are determined for connection to the transmission system and for use of the All-Island Transmission Networks, and

(g) prescribe the circumstances (if any) in which the transmission system operator shall continue to be obliged to make an offer to enter into an agreement for connection to or use of the transmission system pursuant to section 34(1).

(4) In this section—

‘All-Island Transmission Networks’ means the transmission system together with the Northern Ireland Transmission System;

‘Northern Ireland System Operator’ means the holder of a transmission licence granted under Article 10(1)(b) of the Electricity (Northern Ireland) Order 1992 and who is, from time to time, designated by the Authority as the transmission system operator for Northern Ireland;

‘Northern Ireland Transmission System’ shall have the meaning given to the term ‘transmission system’ in the licence granted to the Northern Ireland System Operator under Article 10(1)(b) of the Electricity (Northern Ireland) Order 1992.”.