Part I Preliminary

The National Rivers Authority and the advisory committees

1 The National Rivers Authority.

(1)—(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6) The provisions of Schedule 1 to this Act shall have effect with respect to the Authority and its finances.

2, 3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The transfer of the water authorities’ functions etc.

4 Transfer of the water authorities’ functions etc.

(1) Subject to the following provisions of this Act, on such day as the Secretary of State may by order appoint as the transfer date—

(a) the functions of the water authorities shall, in accordance with those provisions, become functions of the Authority, of water undertakers or of sewerage undertakers; and

(b) schemes under Schedule 2 to this Act for the division of the property, rights and liabilities of those authorities between their successor companies and the Authority shall come into force.

(2) The Secretary of State shall, by order made before the transfer date, nominate a company in relation to each water authority as that authority’s successor company; but a company shall not be so nominated unless it is a limited company and, at the time when the order is made, is wholly owned by the Crown.

(3) Subject to subsection (4) below, each water authority shall continue in existence after the transfer date until such time as they may be dissolved by order made by the Secretary of State.

(4) On the transfer date the chairman and members of each water authority shall cease to hold office; and on and after that date each such authority—

(a) shall consist only of a chairman appointed by the Secretary of State and, if the Secretary of State thinks fit, such one or more other persons as the Secretary of State may appoint as members of that authority; and

(b) shall have only the functions which fall to be carried out by that authority under any scheme under Schedule 2 to this Act with respect to that authority.

(5) The Secretary of State shall not make an order under subsection (3) above in relation to any water authority unless he is satisfied, after consultation with the water authority and with the Authority and the water authority’s successor company, that nothing further remains to be done by the water authority under any scheme under Schedule 2 to this Act.

(6) The power to make an order under this section shall be exercisable by statutory instrument and such an order shall not be amended or revoked—

(a) in the case of an order under subsection (2) above, on or after the transfer date; or

(b) in the case of an order under subsection (3) above, after the dissolution of the water authority to which the order relates.

The Director General of Water Services and the customer service committees

5 The Director General of Water Services.

(1)—(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(5) The provisions of Schedule 3 to this Act shall have effect with respect to the Director.

6 Customer service committees.

(1)—(7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(8) The provisions of Schedule 4 to this Act shall have effect with respect to customer service committees.

7—10. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Part II Water Supply and Sewerage Services

Chapter I Appointment and Regulation of Water and Sewerage Undertakers

Making and conditions of appointments

11 Appointment of undertakers.

(1)—(8) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(9) In the House of Commons Disqualification Act 1975, in Part III of Schedule 1 (other disqualifying offices), there shall be inserted (at the appropriate place) the following entry—

“ Director of a company for the time being holding an appointment under Chapter I of Part II of the Water Act 1989 or of such a company’s holding company, being a director nominated or appointed by a Minister of the Crown or by a person acting on behalf of the Crown. ” ;

and the like insertion shall be made in Part III of Schedule 1 to the Northern Ireland Assembly Disqualification Act 1975.

12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

13 Procedure for replacement appointments.

(1) An application for an appointment or variation to which section 12 above applies shall be made in such manner as may be prescribed; and, within fourteen days after making any such application, the applicant shall—

(a) serve notice of the application on the existing appointee and on every local authority whose area includes the whole or any part of the area to which the application relates; and

(b) publish a copy of the notice in such manner as may be prescribed.

(2) Before making an appointment or variation to which section 12 above applies, the Secretary of State or the Director shall give notice—

(a) stating that he proposes to make the appointment or variation;

(b) stating the reasons why he proposes to make the appointment or variation; and

(c) specifying the period (not being less than twenty-eight days from the date of publication of the notice) within which representations or objections with respect to the proposed appointment or variation may be made,

and shall consider any representations or objections which are duly made and not withdrawn.

(3) A notice under subsection (2) above shall be given—

(a) by publishing the notice in such manner as the Secretary of State or, as the case may be, the Director considers appropriate for bringing it to the attention of persons likely to be affected by the making of the proposed appointment or variation; and

(b) by serving a copy of the notice on the existing appointee and on every local authority whose area includes the whole or any part of the area to which the proposed appointment or variation relates.

(4) Before making an appointment or variation to which section 12 above applies, the Secretary of State shall consult the Director.

(5) As soon as practicable after making an appointment or variation to which section 12 above applies, the Secretary of State or the Director shall—

(a) serve a copy of the appointment or variation on the existing appointee; and

(b) serve notice of the making of the appointment or variation on every local authority whose area includes the whole or any part of the area to which the appointment or variation relates.

(6) Schedule 5 to this Act shall have effect with respect to the making of transitional provision for the purposes of, or in connection with, the making of an appointment or variation to which section 12 above applies.

(7) In this section “ the existing appointee ”, in relation to an appointment or variation to which section 12 above applies, means the company which is the existing appointee for the purposes of that section in relation to any area to the whole or any part of which the appointment or variation relates or, where there is more than one such company, each of them.

14—22. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Special administration orders

23 Special administration orders in relation to water or sewerage undertakers.

(1) If, on an application made to the High Court by petition presented—

(a) by the Secretary of State; or

(b) with the consent of the Secretary of State, by the Director,

that Court is satisfied in relation to any company which holds an appointment under this Chapter that any one or more of the grounds specified in subsection (4) below is satisfied in relation to that company, that Court may make an order under this section.

(2) An order under this section is an order directing that, during the period for which the order is in force, the affairs, business and property of the company shall be managed, by a person appointed by the High Court, for the achievement of the purposes of the order and in a manner which protects the respective interests of the members and creditors of the company.

(3) The purposes of an order made under this section in relation to a company holding an appointment under this Chapter shall be—

(a) the transfer to another company, or (as respects different parts of the company’s area or different parts of its undertaking) to two or more different companies, as a going concern, of so much of the company’s undertaking as it is necessary to transfer in order to ensure that the functions which have been vested in the company by virtue of its appointment may be properly carried out; and

(b) the carrying out of those functions pending the making of the transfer and the vesting of those functions in the other company or companies (whether by virtue of the transfer or of an appointment or variation to which section 12 above applies).

(4) The grounds mentioned in subsection (1) above are, in relation to any company—

(a) that there has been, is or is likely to be such a contravention by the company of a requirement imposed on the company by section 37 or 67 below, not being a contravention in respect of which a notice has been served under subsection (6) of section 20 above, as is serious enough to make it inappropriate for the company to continue to hold its appointment;

(b) that there has been, is or is likely to be such a contravention by the company of the provisions of any final order or provisional order under section 20 above, being an order which—

(i) is not for the time being the subject-matter of proceedings brought by virtue of section 22(1) above; and

(ii) if it is a provisional order, has been confirmed,

as is serious enough to make it inappropriate for the company to continue to hold its appointment;

(c) that the company is or is likely to be unable to pay its debts;

(d) that, in a case in which the Secretary of State has certified that it would be appropriate, but for section 24 below, for him to petition for the winding up of the company under section 440 of the Companies Act 1985 (petition by the Secretary of State following inspectors’ report etc.), it would be just and equitable, as mentioned in that section, for the company to be wound up if it did not hold an appointment under this Chapter; or

(e) that the company is unable or unwilling adequately to participate in arrangements certified by the Secretary of State or the Director to be necessary by reason of, or in connection with, a proposal for the making by virtue of subsection (2)(c) of section 12 above of any appointment or variation to which that section applies.

(5) Notice of the petition for an order under this section shall be given forthwith to such persons and in such manner as may be prescribed by rules made under section 411 of the Insolvency Act 1986; and no such petition shall be withdrawn except with the leave of the High Court.

(6) Subsections (4) and (5) of section 9 of the said Act of 1986 (powers on application for administration order) shall apply on the hearing of the petition for an order under this section in relation to any company as they apply on the hearing of a petition for an administration order.

(7) Subsections (1), (2) and (4) of section 10 of the said Act of 1986 (effect of petition) shall apply in the case of a petition for an order under this section in relation to any company as if—

(a) the reference in subsection (1) to an administration order were a reference to an order under this section;

(b) paragraph (b) of that subsection did require the leave of the court for the taking of any of the steps mentioned in paragraphs (b) and (c) of subsection (2) (appointment of, and exercise of functions by, administrative receiver); and

(c) the reference in paragraph (c) of subsection (1) to proceedings included a reference to any proceedings under or for the purposes of section 20 above.

(8) Schedule 6 to this Act shall have effect with respect to orders under this section and Schedule 5 to this Act shall have effect with respect to the making of transitional provision for the purposes of an order under this section.

(9) In this section and section 24 below—

• “ business ” and “ property ” have the same meanings as in the Insolvency Act 1986;

• “ security ” has the same meaning as in Parts I to VII of that Act;

and for the purposes of this section a company is unable to pay its debts if it is a limited company which is deemed to be so unable under section 123 of the Insolvency Act 1986 (definition of inability to pay debts) or if it is an unregistered company which is deemed, by virtue of any of sections 222 to 224 of that Act, to be so unable for the purposes of section 221 of that Act (winding up of unregistered companies).

24—28. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

29, 30. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

31—36. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter II

37—66. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter III Provision of Sewerage Services

67—68. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

69 Transfer of principal sewerage functions.

Schedule 8 to this Act shall have effect for transferring to sewerage undertakers the functions of water authorities relating to the provision of sewerage services and for making amendments of the enactments relating to the transferred functions.

70 Allocation of cross boundary sewers.

(1) For the purposes of any scheme under Schedule 2 to this Act, so much of any sewer as is vested in a water authority immediately before the transfer date but is—

(a) situated in the area of another water authority; and

(b) maintained for the purpose of draining premises in that area,

shall be deemed to have vested in the other water authority before the coming into force of that scheme.

(2) Where any part of a water authority’s sewer is deemed by virtue of this section to have vested in another water authority, anything which—

(a) has been done by or in relation to the first-mentioned authority for any purposes connected with that part of that sewer; and

(b) is in force or effective immediately before the transfer date,

shall have effect for the purposes of any transitional provision contained in this Act as if it had been done by or in relation to that other authority.

(3)—(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

71 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

72 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

73, 74. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter IV

75—82. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter V Ownership and Finances of Successor Companies etc.

83 Initial Government holdings.

(1) As a consequence of the vesting in accordance with any scheme under Schedule 2 to this Act of property, rights and liabilities of any water authority in that authority’s successor company, that company shall issue such securities of the company as the Secretary of State may from time to time direct—

(a) to such limited company as may (whether before or after the transfer date) have been nominated by the Secretary of State by order made by statutory instrument as the nominated holding company of the successor company; or

(b) to the Secretary of State.

(2) As a consequence of the issue by virtue of any direction under subsection (1) above of any securities of a company to that company’s nominated holding company, the latter company shall issue such securities of the nominated holding company as the Secretary of State may from time to time direct—

(a) to the Treasury or the Secretary of State; or

(b) to any person entitled to require the issue of the securities following their initial allotment to the Treasury or the Secretary of State.

(3) The Secretary of State shall not—

(a) make an order nominating any company as the nominated holding company of a successor company; or

(b) give a direction under subsection (1) or (2) above for the issue of securities,

except at a time when the company nominated by the order or, as the case may be, the company which is directed to issue securities is wholly owned by the Crown.

(4) Securities required to be issued in pursuance of this section shall be issued or allotted at such time or times and on such terms as the Secretary of State may direct.

(5) Shares in a company which are issued in pursuance of this section—

(a) shall be of such nominal value as the Secretary of State may direct; and

(b) shall be issued as fully paid and treated for the purposes of the application of the Companies Act 2006 in relation to that company as if they had been paid up by virtue of the payment to the company of their nominal value in cash.

(6) The Secretary of State shall not exercise any power conferred on him by this section, or dispose of any securities issued or of any rights to securities initially allotted to him in pursuance of this section, without the consent of the Treasury.

(7) Any dividends or other sums received by the Treasury or the Secretary of State in right of or on the disposal of any securities or rights acquired by virtue of this section shall be paid into the Consolidated Fund.

84 Government financial assistance for companies wholly owned by the Crown.

(1) Subject to section 92(1) below, the Secretary of State may, with the consent of the Treasury, lend such sums as he thinks fit to any company which is the nominated holding company of a successor company and is for the time being wholly owned by the Crown.

(2) The Secretary of State may, with the consent of the Treasury, guarantee, in such manner and on such conditions as he may think fit, the repayment of the principal of, the payment of interest on and the discharge of any other financial obligation in connection with any sum which is borrowed from any person by any company which—

(a) is a successor company or the nominated holding company of such a company; and

(b) is wholly owned by the Crown at the time when the guarantee is given.

(3) Subject to section 86 below, any loans which the Secretary of State makes to a company under this section shall be repaid to him at such times and by such methods, and interest thereon shall be paid to him at such rates and at such times, as he may, with the consent of the Treasury, from time to time direct.

(4) The Treasury may issue out of the National Loans Fund to the Secretary of State such sums as are required by him for making loans under this section.

(5) Any sums received under subsection (3) above by the Secretary of State shall be paid into the National Loans Fund.

(6) It shall be the duty of the Secretary of State as respects each financial year—

(a) to prepare, in such form as the Treasury may direct, an account of sums issued to him in pursuance of subsection (4) above and of sums received by him under subsection (3) above and of the disposal by him of the sums so issued or received; and

(b) to send the account to the Comptroller and Auditor General not later than the end of the month of August in the following financial year;

and the Comptroller and Auditor General shall examine, certify and report on the account and shall lay copies of it and of his report before each House of Parliament.

85 Transfer of successor company liabilities to holding companies.

(1) The Secretary of State may by order made by statutory instrument transfer to that company’s nominated holding company the liabilities of a successor company in respect of the principal of any relevant loan.

(2) Where the Secretary of State has made an order under subsection (1) above in respect of the liabilities of any successor company and he considers it appropriate to do so, he may give a direction under this subsection to that company and that company shall, as a consequence of the making of the order, issue such debentures of the company to its nominated holding company as may be specified or described in the direction.

(3) The Secretary of State—

(a) shall not exercise his power to make an order under this section except with the consent of the Treasury; and

(b) shall not make such an order transferring the liability of any company or give a direction under subsection (2) above to any company, except at a time when the company is wholly owned by the Crown.

(4) Subsection (4) of section 83 above shall apply for the purposes of this section as it applies for the purposes of that section.

(5) In this section “ relevant loan ”, in relation to the successor company of a water authority, means any sum borrowed or treated as borrowed by the authority from the Secretary of State or the Public Works Loan Commissioners, being a sum the liability to repay which has vested in the authority’s successor company in accordance with any scheme under Schedule 2 to this Act.

86 Conversion of certain loans.

(1) The Secretary of State may by order made by statutory instrument extinguish all or any of the liabilities of the nominated holding company of a successor company in respect of the principal of any loan of either of the following descriptions, that is to say—

(a) a loan made to that company under section 84 above;

(b) a loan the liability to repay the principal of which has been transferred to that company under section 85 above;

and the assets of the National Loans Fund shall accordingly be reduced by amounts corresponding to any liabilities so extinguished.

(2) An order made under subsection (1) above in respect of any loan the liability to repay the principal of which was transferred to the nominated holding company of a successor company under section 85 above may extinguish all or any of the liabilities of that successor company under debentures issued in respect of the transfer under subsection (2) of that section.

(3) Where the Secretary of State has made an order under subsection (1) above and he considers it appropriate to do so, he may give a direction under this subsection to any nominated holding company whose liabilities are extinguished by the order and that company shall, as a consequence of the making of the order, issue such debentures of the company as may be specified or described in the direction—

(a) to the Treasury or the Secretary of State; or

(b) to any person entitled to require the issue of the debentures following their initial allotment to the Treasury or the Secretary of State.

(4) The Secretary of State shall not—

(a) make an order under subsection (1) above extinguishing the liability of any company; or

(b) give a direction under subsection (3) above for the issue of debentures,

except at a time when the company whose liability is extinguished by the order or, as the case may be, the company which is directed to issue debentures is wholly owned by the Crown.

(5) Except as may be agreed between the Secretary of State and a company which is directed to issue debentures in pursuance of this section—

(a) the aggregate of the principal sums payable under the debentures to which the direction relates shall be equal to the aggregate of the sums the liability to repay which is extinguished by the order; and

(b) the terms as to the payment of the principal sums payable under the debentures to which the direction relates, and as to the payment of interest thereon, shall be the same as the corresponding terms of the loans specified in the order.

(6) For the purposes of subsection (5) above any express or implied terms of a loan shall be disregarded in so far as they relate to the early discharge of liabilities to make repayments of principal and payments of interest.

(7) Subsection (4) and subsections (6) and (7) of section 83 above shall apply for the purposes of this section as they apply for the purposes of that section.

87 Government investment in securities of the nominated holding companies.

(1) The Treasury or, with the consent of the Treasury, the Secretary of State may at any time acquire—

(a) securities of the nominated holding company of a successor company; or

(b) rights to subscribe for any such securities.

(2) The Secretary of State shall not dispose of any securities acquired under this section without the consent of the Treasury.

(3) Any expenses incurred by the Treasury or the Secretary of State in consequence of the provisions of this section shall be paid out of money provided by Parliament.

(4) Any dividends or other sums received by the Treasury or the Secretary of State in right of, or on the disposal of, any securities or rights acquired under this section shall be paid into the Consolidated Fund.

88 Exercise of functions through nominees.

(1) The Treasury or, with the consent of the Treasury, the Secretary of State may for the purposes of section 83, 86 or 87 above appoint any person to act as the nominee, or one of the nominees, of the Treasury or, as the case may be, of the Secretary of State; but—

(a) the issue in pursuance of section 83 above of securities of a successor company to any nominee of the Secretary of State appointed for the purposes of that section;

(b) the issue in pursuance of section 83 or 86 above of securities of such a company’s nominated holding company to such nominee of the Treasury or the Secretary of State as is appointed for the purposes of that section or to any person entitled to require the issue of the securities following their initial allotment to any such nominee; and

(c) the acquisition by any nominee of the Treasury or the Secretary of State who is appointed for the purposes of section 87 above of any securities or rights under that section,

shall be in accordance with such directions as may be given from time to time by the Treasury or, with the consent of the Treasury, by the Secretary of State.

(2) Any person holding any securities or rights as a nominee of the Treasury or the Secretary of State by virtue of the preceding provisions of this section shall hold and deal with them (or any of them) on such terms and in such manner as the Treasury or, with the consent of the Treasury, the Secretary of State may direct.

89 Target investment limit for Government shareholding.

(1) The following provisions of this section shall apply separately in relation to each company which is the nominated holding company of a successor company.

(2) As soon as he considers it expedient and, in any case, not later than six months after the company ceases to be wholly owned by the Crown, the Secretary of State shall by order fix a target investment limit in relation to the aggregate of the shares in the company which are for the time being held, by virtue of any provision of this Chapter, by any of the following, that is to say, the Treasury, the Secretary of State or any nominee of the Treasury or the Secretary of State (in this section referred to as “ the Government shareholding ”).

(3) The target investment limit for the Government shareholding in the company shall be expressed as a proportion of the voting rights which are exercisable in all circumstances at general meetings of the company (in this section referred to as “ the ordinary voting rights ”).

(4) The first target investment limit fixed under this section for the Government shareholding in the company shall not exceed, by more than 0.5 per cent of the ordinary voting rights, the proportion of the ordinary voting rights which is in fact carried by the Government shareholding in the company at the time when the order fixing the limit is made.

(5) The Secretary of State may from time to time by order fix a new target investment limit for the Government shareholding in the company in place of the one previously in force under this section; but—

(a) any new limit must be lower than the one it replaces in relation to the company; and

(b) an order under this section may only be revoked by an order fixing a new limit.

(6) It shall be the duty of the Treasury and of the Secretary of State—

(a) so to exercise their powers under section 87 above, any power to dispose of any shares held by virtue of any provision of this Chapter and their power to give directions to their respective nominees as to secure that the Government shareholding in the company does not carry a proportion of the ordinary voting rights exceeding any target investment limit for the time being in force under this section in relation to the company; and

(b) not at any time on or after the fixing of the first target investment limit in relation to the company to exercise any power to acquire, or to authorise any nominee to acquire, any shares in the successor company of which the company is the nominated holding company.

(7) Notwithstanding subsection (6) above but subject to subsection (8) below, the Treasury or the Secretary of State may take up, or direct any nominee of the Treasury or of the Secretary of State to take up, any rights for the time being available to them or him, or to the nominee—

(a) as an existing holder of shares or other securities of the company; or

(b) by reason of the rescission of any contracts for the sale of any such shares or securities.

(8) If, as a result of anything done under subsection (7) above, the proportion of the ordinary voting rights carried by the Government shareholding in the company at any time exceeds the target investment limit for the time being in force under this section in relation to the company, it shall be the duty of the Treasury or, as the case may be, the Secretary of State to comply with subsection (6) above as soon after that time as is reasonably practicable.

(9) For the purposes of this section the temporary suspension of any of the ordinary voting rights shall be disregarded.

(10) The power to make an order under this section shall be exercisable by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament.

90 Responsibility for listing particulars of nominated holding companies.

(1) Where—

(a) the same document contains listing particulars for securities of two or more nominated holding companies; and

(b) any person’s responsibility for any information included in the document is stated in the document to be confined to its inclusion as part of the listing particulars for securities of any one of those companies,

that person shall not be treated as responsible for that information in so far as it is stated in the document to form part of the listing particulars for securities of any other of those companies.

(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3) In this section—

• “listing particulars” has the same meaning as in section 90(1) of the Financial Services and Markets Act 2000; and

• “responsible”, in relation to listing particulars, has the meaning given in section 79(3) of that Act.

91 Statutory accounts of the group.

(1) For the purposes of any statutory accounts of a water authority’s successor company—

(a) the vesting effected in accordance with any scheme under Schedule 2 to this Act shall be taken—

(i) to have been a vesting in that company of all the property, rights and liabilities to which that authority was entitled or subject immediately before the end of their last accounting date and which, at that time, were not property, rights and liabilities relating to Part III functions; and

(ii) to have been effected immediately after that date;

and

(b) the value of any asset and the amount of any liability of that authority which is taken by virtue of paragraph (a) above to have been vested in that company shall be taken to have been the value or (as the case may be) amount assigned to that asset or liability for the purposes of the corresponding statement of accounts prepared by that authority in respect of the complete accounting year ending with that date.

(2) For the purposes of any statutory accounts of a water authority’s successor company the amount to be included in respect of any item shall be determined as if the company had done anything not relating to Part III functions which has been done by that authority (whether by way of acquiring, revaluing or disposing of any asset or incurring, revaluing or discharging any liability, or by carrying any amount to any provision or reserve, or otherwise).

Accordingly (but without prejudice to the generality of the preceding provision) the amount to be included from time to time in any reserves of a water authority’s successor company as representing the company’s accumulated realised profits shall be determined as if any profits realised and retained by that authority had been realised and retained by the company.

(3) For the purposes of any statutory accounts of the nominated holding company of a successor company—

(a) a successor company which becomes a subsidiary of the holding company in the course of an accounting reference period of that successor company shall be assumed to have become such a subsidiary at the beginning of that period; and

(b) the value, at the time of its issue, of any security issued to the holding company in pursuance of section 83 or 85 above shall be taken—

(i) in the case of a share, to have been equal to its nominal value; and

(ii) in the case of a debenture, to have been equal to the principal sum payable under the debenture.

(4) For the purposes of this section the question whether any property, right or liability of a water authority, or anything done by a water authority, relates to Part III functions shall be determined in accordance with such principles for determining whether anything so relates as the Secretary of State—

(a) considers appropriate to apply in the case of that authority’s successor company; and

(b) has notified to that company in writing.

(5) References in this section to the statutory accounts of a company are references to any accounts prepared by the company for the purposes of any provision of the Companies Act 2006 (including group accounts); and in this section—

• “ accounting reference period ” has the same meaning, in relation to a successor company, as in that Act;

• “ complete accounting year, ” in relation to a water authority, means an accounting year of the authority ending on 31st March;

• “ the last accounting date ”, in relation to any water authority, means the last day of the last complete accounting year of that authority to end before the transfer date; and

• “ Part III functions ”, in relation to a water authority, means the functions of that authority which are transferred to the Authority by virtue of this Act or correspond to any functions assigned to the Authority under this Act.

92 Temporary restrictions on borrowings etc. by the group.

(1) The aggregate amount outstanding in respect of the principal of the relevant borrowing of a group to which a successor company belongs shall not, at any time when the company is wholly owned by the Crown, exceed £1,400 million or such greater sum, not exceeding £1,800 million, as the Secretary of State may specify by order made by statutory instrument.

(2) The power to make an order under subsection (1) above shall include power to specify different amounts in relation to different groups; and no order shall be made under that subsection unless a draft of the order has been laid before the House of Commons and has been approved by a resolution of that House.

(3) If articles of association of a successor company or of such a company’s nominated holding company confer on the Secretary of State powers exercisable with the consent of the Treasury for, or in connection with, restricting the sums of money which may be borrowed or raised during any period by the group to which that company belongs, those powers shall be exercisable in the national interest notwithstanding any rule of law and the provisions of any enactment.

(4) For the purposes of subsection (3) above an alteration of the articles of association of a successor company or of such a company’s nominated holding company shall be disregarded if the alteration—

(a) has the effect of conferring or extending any such power as is mentioned in that subsection; and

(b) is made at a time when that company has ceased to be wholly owned by the Crown.

(5) In this section—

• “ group ”, in relation to a successor company, means that company’s nominated holding company and all of the nominated holding company’s subsidiaries (including the successor company and its subsidiaries) taken together; and

• “ relevant borrowing ”, in relation to a group to which a successor company belongs, means—

(a) such loans made or treated as made to any company in the group, including loans treated by virtue of the issue of debentures in pursuance of this Act as having been made to any such company, as are not loans made or treated as made by one company belonging to the group to another such company; and

(b) any sums borrowed or treated as borrowed by local authorities in respect of the repayment of which, or the payment of interest on which, the successor company is required to make contributions by virtue of the transfer of any liability in accordance with a scheme under Schedule 2 to this Act.

(6) Where any amount outstanding in respect of the principal of any relevant borrowing of a group—

(a) is treated as repaid or extinguished in connection with the issue of any securities of a company belonging to that group; or

(b) would fall to be so treated, in the case of an extinguishment under section 86 above, if the Secretary of State had given a direction under subsection (3) of that section,

that amount shall be deemed for the purposes of this section to continue to be outstanding except to the extent that any amount payable by the company by reason of the issue of securities in connection with the repayment or extinguishment itself falls to be treated for the purposes of this section as an amount outstanding in respect of the principal of any relevant borrowing of the group.

93 Reserves of the successor companies.

(1) Where the Secretary of State, at any time before the company ceases to be wholly owned by the Crown, so directs in relation to any successor company, such sums as may be specified in the direction shall, instead of being applied in any other way, be carried by the company to a reserve for the purposes of this section.

(2) A company having a reserve for the purposes of this section shall not apply it except in paying up unissued shares of the company to be allotted to members of the company as fully paid bonus shares.

94 Application of Trustee Investments Act 1961 in relation to investment in the nominated holding companies.

(1) Subsection (2) below shall have effect for the purpose of applying paragraph 3(b) of Part IV of Schedule 1 to the Trustee Investments Act 1961 (which provides that shares and debentures of a company shall not count as wider-range and narrower-range investments respectively within the meaning of that Act unless the company has paid dividends in each of the five years immediately preceding that in which the investment is made) in relation to investment, during the first investment year or any following year, in shares or debentures of a company which is the nominated holding company of a successor company.

(2) The company shall be deemed to have paid a dividend as mentioned in the said paragraph 3(b)—

(a) in every year preceding the first investment year which is included in the relevant five years; and

(b) in the first investment year, if that year is included in the relevant five years and that company does not in fact pay such a dividend in that year.

(3) In this section—

• “ the first investment year ”, in relation to a company which is the nominated holding company of a successor company, means the calendar year in which shares in that successor company are first issued, in pursuance of section 83(1) above, to the nominated holding company; and

• “ the relevant five years ” means the five years immediately preceding the year in which the investment in question is made or proposed to be made.

95 Tax provisions.

(1) The Secretary of State may, for the purposes of section 2 of the Capital Allowances Act 1968(writing-down allowance), by order make provision specifying—

(a) the amount to be taken for the purposes of subsection (3) of that section as the residue on the transfer date of any expenditure in relation to which any property vested in a successor company in accordance with a scheme under Schedule 2 to this Act is a relevant interest for the purposes of that section; and

(b) the part of the period mentioned in subsection (3) of that section which is to be treated, in relation to any such property, as unexpired on that date.

(2) For the purposes of Chapter I of Part III of the Finance Act 1971 (capital allowances in respect of machinery and plant)property which is vested in a successor company in accordance with a scheme under Schedule 2 to this Act shall be treated as if—

(a) it had been acquired by that company on the transfer date for the purposes for which it is used by that company on and after that date; and

(b) capital expenditure of such amount as may be specified for the purposes of this subsection in an order made by the Secretary of State had been incurred on that date by that company on the acquisition of the property for the purposes mentioned in paragraph (a) above.

(3) The Secretary of State shall not make an order under subsection (1) or (2) above in relation to any property of a successor company except with the consent of the Treasury and at a time when the company is wholly owned by the Crown; and the power to make such an order shall be exercisable by statutory instrument and shall include power to make different provision for different cases, including different provision in relation to different property or descriptions of property.

(4) Subject to subsection (5) below, for the purposes of the Taxation of Chargeable Gains Act 1992 (“the 1992 Act”) the following securities of a successor company, that is to say—

(a) those issued to that company’s nominated holding company in pursuance of section 83 above;

(b) those issued to that company’s nominated holding company in pursuance of section 85 above, so far as they are not extinguished under section 86 above; and

(c) those not issued in pursuance of section 83 or 85 above which are—

(i) held by that holding company, or any of its nominees, on the transfer date; or

(ii) held by the Secretary of State, or any of his nominees, on that date and transferred to that holding company at any time when that holding company is wholly owned by the Crown,

shall, together, be deemed to have been acquired by the nominated holding company on the transfer date for a consideration equal to whatever is the market value of the successor company’s undertaking immediately after the coming into force, on that date, of the scheme under Schedule 2 to this Act in accordance with which property, rights and liabilities of a water authority are transferred to the successor company.

(5) For the purposes of the 1992 Act—

(a) any loan which is a relevant loan for the purposes of section 85 above shall be disregarded in determining the market value referred to in subsection (4) above; and

(b) where an apportionment of the aggregate amount for which securities of any company are treated under that subsection as having been acquired by any company falls to be made between different securities, any debenture to which that subsection applies shall be treated as having been acquired by that company for an amount equal to the principal sum payable under the debenture.

(6) Where—

(a) any debt owed to a water authority is transferred to its successor company in accordance with a scheme under Schedule 2 to this Act; and

(b) the authority would have been the original creditor in relation to that debt for the purposes of section 251 of the 1992 Act (disposal of debts),

the successor company shall be treated as the original creditor for those purposes.

(7) For the purposes of Part VI of the Income and Corporation Taxes Act 1988 (company distributions) any securities of a company issued in pursuance of section 83, 85 or 86 above shall be treated as having been issued for new consideration equal—

(a) in the case of a share, to its nominal value; and

(b) in the case of a debenture, to the principal sum payable under the debenture.

(8) Subsection (1) of section 400 of the Income and Corporation Taxes Act 1988(write-off of government investment: restriction of tax losses) shall not have effect in relation to any extinguishment, at a time when the nominated holding company of a successor company is wholly owned by the Crown, of any liabilities of that holding company.

(9) Subsection (6) of the said section 400 shall apply in relation to any such extinguishment of liabilities as is mentioned in subsection (8) above as if the reference to the body in question were a reference to the company whose liabilities are extinguished.

(10) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(11) The vesting in accordance with a scheme under Schedule 2 to this Act in a successor company of any liability for a loan made to a water authority shall not affect any direction in respect of the loan which has been given, or has effect as if given, under section 755 of the Income Tax (Trading and Other Income) Act 2005 (income tax exemption for interest on foreign currency securities).

96 Interpretation of Chapter V.

In this Chapter—

• “ debentures ” includes debenture stock;

• “ nominated holding company ”, in relation to a successor company, means the company nominated under section 83(1) above as that successor company’s nominated holding company;

• “ securities ”, in relation to a company, includes shares, debentures, bonds and other securities of the company, whether or not constituting a charge on the assets of the company; and

• “ shares ” includes stock.

Chapter VI Statutory Water Companies

97—102. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Part III The Protection and Management of Rivers and other Waters

Chapter I Control of Pollution

General provisions

103—124. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter II

125—135. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter III Flood Defence

136 Flood defence functions of the Authority.

(1) Subject to subsection (3) below, the Authority shall in relation to England and Wales exercise a general supervision over all matters relating to flood defence and, for the purpose of carrying out its functions in relation to flood defence, shall from time to time carry out surveys of the areas in relation to which it carries out those functions.

(2) Schedule 15 to this Act shall have effect for transferring the functions of water authorities relating to flood defence to the Authority and for making amendments of the Land Drainage Act 1976 (in this Chapter referred to as “ the 1976 Act ”), including amendments consequential on the following provisions of this Chapter.

(3) Without prejudice to any scheme for the appointment of local flood defence committees and subject to subsection (4) below, the Authority shall arrange for all its functions under the 1976 Act relating to flood defence to be carried out by regional flood defence committees established under section 137 below, so that those functions of the Authority are carried out—

(a) in relation to the area of each regional flood defence committee, by the committee for that area; and

(b) in cases involving the areas of more than one regional flood defence committee, by such committee, or jointly by such committees, as may be determined in accordance with arrangements made by the Authority.

(4) The Authority shall not make arrangements for the carrying out by any other body, or by any committee, of any of its functions with respect to—

(a) the issuing of levies (within the meaning of the Local Government Finance Act 1988); or

(b) the making of drainage charges under the 1976 Act;

and nothing in this section shall enable the Authority to authorise any such other body or any committee to borrow money for purposes connected with the Authority’s functions relating to flood defence.

(5) The Authority may give a regional flood defence committee a direction of a general or specific character as to the carrying out of any function relating to flood defence, other than one of their internal drainage functions, so far as the carrying out of that function appears to the Authority likely to affect materially the Authority’s management of water for purposes other than flood defence; and a regional flood defence committee shall comply with any direction under this subsection.

(6) The Authority shall maintain a principal office for the area of each regional flood defence committee.

(7) The functions of the Authority by virtue of this Chapter extend to the territorial sea adjacent to England and Wales in so far as—

(a) the area of any regional flood defence committee includes any area of that territorial sea; or

(b) section 17(2) or (3) of the 1976 Act (works in the sea and in estuaries) provides for the exercise of any power in the territorial sea;

and where under the said section 17(2) or (3) any function of the Authority falls to be carried out at a place beyond the seaward boundaries of the area of any regional flood defence committee, that place shall be assumed for the purposes of this Chapter and that Act to be within the area of the regional flood defence committee to whose area the area of sea where that place is situated is adjacent.

(8) Where the functions of any water authority immediately before the transfer date include, by virtue of any local statutory provision, any functions relating to flood defence—

(a) those functions shall become functions of the Authority on that date; and

(b) subject to the power conferred by section 191 below, the local statutory provisions relating to the functions transferred by this subsection and everything done by or in relation to a water authority under any such provision shall have effect, so far as may be necessary for the purposes of, or in connection with, the transfer of functions under this subsection, as if—

(i) any reference in any such provision to a water authority were a reference to the Authority; and

(ii) any such thing had been done by or in relation to the Authority.

(9) In this section—

• “ flood defence ” means the drainage of land (within the meaning of the 1976 Act) and the provision of flood warning systems;

• “ internal drainage functions ” means the functions of the Authority under sections 10 to 16, 68(1) to (4) and (7) to (9), 69(2), (3) and (6), 84 and 86(1) of the 1976 Act.

137 Establishment of regional flood defence committees.

(1)—(8) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(9) In the House of Commons Disqualification Act 1975, in Part III of Schedule 1 (other disqualifying offices), there shall be inserted (at the appropriate place) the following entry—

“ Chairman of a regional flood defence committee for any area of England and Wales. ”

(10)(11) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

138 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

139 Local flood defence schemes and local flood defence committees.

(1)—(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6) In the House of Commons Disqualification Act 1975, in Part III of Schedule 1 (other disqualifying offices), there shall be inserted (at the appropriate place) the following entry—

“ Chairman of a local flood defence committee for any district in England and Wales. ”

140 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter IV Salmon and Freshwater Fisheries

141 Functions of the Authority in relation to fisheries.

(1) It shall be the duty of the Authority—

(a) to maintain, improve and develop samoln fisheries, trout fisheries, fresh water fisheries and eel fisheries;

(b) to establish and maintain advisory committees of persons who are not members of the authority but appear to it to be interested in any such fisheries in the different parts of the area mentioned in subsection (4) below; and

(c) to consult those committees as to the manner in which the Authority is to perform its duty under paragraph (a) above.

(2) The duty to establish and maintain advisory committees imposed by paragraph (b) of subsection (1) above is a duty to establish and maintain—

(a) a regional advisory committee for each such region of the area mentioned in subsection (4) below as the Authority considers it appropriate for the time being to regard as a region of that area for the purposes of this section; and

(b) such local advisory committees as it considers necessary to represent the interests referred to in that paragraph in the different parts of each such region;

and it shall be the duty of the Authority in determining the regions for which regional advisory committees are established and maintained to ensure that one of those regions consists (apart from territorial waters) wholly or mainly of, or of most of, Wales.

(3) There shall be paid by the Authority—

(a) to the chairman of an advisory committee established and maintained under this section such remuneration and such travelling and other allowances; and

(b) to any other members of that committee such sums reimbursing them for loss of remuneration, for travelling expenses or for any other out-of-pocket expenses,

as may, with the consent of the Treasury, be determined by the Minister or the Secretary of State.

(4) The area in respect of which the Authority shall carry out its functions relating to fisheries shall be the whole of England and Wales, together with—

(a) such part of the territorial sea adjacent to England and Wales as extends for six miles from the baselines from which the breadth of that sea is measured; and

(b) in the case of subsection (1) above and the Salmon and Freshwater Fisheries Act 1975 , so much of the River Esk with its banks and tributary streams up to their source as is situated in Scotland,

but, in the case of that subsection and those Acts, excluding the River Tweed, that is to say, “the river” within the meaning of the Tweed Fisheries Amendment Act 1859, as amended by byelaws.

(5) Schedule 17 to this Act shall have effect for transferring the functions of water authorities relating to fisheries to the Authority and for making amendments of the enactments relating to the transferred functions and of corresponding enactments applying to fisheries in Scotland.

(6) Nothing in the preceding provisions of this section or in the following provisions of this Act shall authorise the Authority to acquire any land in Scotland compulsorily.

(7) In this section, “ miles ” means international nautical miles of 1,852 metres.

Chapter V Navigation, Conservancy and Harbour Authority Functions

142 Navigation, conservancy and harbour authority functions.

(1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(2) Subject to the power conferred by section 191 below, on and after the transfer date every local statutory provision relating to a function transferred by this section and everything done by or in relation to a water authority under any such provision shall have effect, so far as may be necessary for the purposes of, or in connection with, the transfer of functions made by subsection (1) above, as if—

(a) any reference in any such provision to a water authority were a reference to the Authority; and

(b) any such thing had been done by or in relation to the Authority.

Chapter VI

143—150. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Part IV Powers in Relation to Land and Works Powers etc.

151—167. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Part V Provisions relating to Scotland

168 Water quality in Scotland.

Schedule 22 to this Act shall have effect to make provision for Scotland in relation to the quality of water.

169 Control of water pollution in Scotland.

Schedule 23 to this Act shall have effect to make provision for Scotland in relation to the control of pollution of water.

Part VI Misc1ellaneous and Supplemental

170, 171. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Indemnities in respect of fluoridation

172 Indemnities in respect of fluoridation.

(1) The Secretary of State may, with the consent of the Treasury, agree to indemnify any statutory water undertaker in respect of such of any of the following as he thinks fit, that is to say—

(a) liabilities incurred by the undertaker in connection with anything done by the undertaker for the purpose of increasing the fluoride content of any water supplied by the undertaker;

(b) costs or expenses which are incurred by the undertaker, or for which the undertaker is liable, in connection with any proceedings which have been or may be brought by any person with respect to—

(i) things done for the purpose of increasing the fluoride content of any water; or

(ii) a proposal to increase the fluoride content of any water;

(c) expenditure incurred by the undertaker in complying with an order made in any such proceedings;

(d) liabilities transferred to the undertaker in accordance with a scheme under Schedule 2 or 5 to this Act which, in relation to the person from whom they were transferred, were liabilities falling within paragraph (a) above or liabilities in respect of costs, expenses or other expenditure mentioned in sub-paragraph (b) or (c) above.

(2) In this section “ statutory water undertaker ” means—

(a) any water undertaker or, in relation to any time before the transfer date, any water authority or any statutory water company within the meaning of the 1973 Act; or

(b) any water authority within the meaning of the Water (Scotland) Act 1980.

Payments to existing pension fund

173 Payments to existing pension fund.

(1) Subject to subsection (3) below, the Secretary of State may, with the consent of the Treasury, make such payments into any fund maintained for the purposes of any regulations under section 7 of the Superannuation Act 1972, as he may consider appropriate in respect of the actual and prospective liabilities falling from time to time to be met out of that fund to or in respect of persons, or classes of persons, who—

(a) have ceased to be officers or employees of a water authority; or

(b) have ceased to be officers or employees of any person designated for the purposes of this paragraph by order made by the Secretary of State.

(2) The Secretary of State shall not make an order designating a person for the purposes of subsection (1)(b) above unless that person appears to him to be a person whose activities at any time before the transfer date consisted in, or were connected with, the carrying out of any function which is transferred by this Act or which corresponds to any such function or to any other function under this Act; and the power to make such an order shall be exercisable by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament.

(3) It shall be the duty of the Secretary of State so to exercise the power conferred by subsection (1) above as to ensure that all such liabilities as are mentioned in that subsection are able to be met out of the fund out of which they fall to be met in accordance with any regulations under the said section 7.

(4) Any amount paid into any fund by the Secretary of State under this section shall be paid out of money provided by Parliament.

Information etc.

174 General restrictions on disclosure of information.

(1) Subject to the following provisions of this section, no information with respect to any particular business which—

(a) has been obtained by virtue of any of the provisions of this Act; and

(b) relates to the affairs of any individual or to any particular business,

shall, during the lifetime of that individual or so long as that business continues to be carried on, be disclosed without the consent of that individual or the person for the time being carrying on that business.

(2) Subsection (1) above does not apply to any disclosure of information which is made—

(a) for the purpose of facilitating the carrying out by the Secretary of State, the Minister, the Environment Agency, the Scottish Environment Protection Agency , the Natural Resources Body for Wales, the Water Services Regulation Authority, the Consumer Council for Water , the Competition and Markets Authority or a local authority of any of his, its or, as the case may be, their functions by virtue of this Act or any of the water consolidation Acts , the Environment Act 1995 , the Water Act 2003 , the Water Act 2014 or the Natural Resources Body for Wales (Establishment) Order 2012 ( S.I. 2012/1903 ) ;

(b) for the purpose of facilitating the performance by a water undertaker , sewerage undertaker or person holding a licence under Chapter 1A of Part 2 of the Water Industry Act 1991 of any of the duties imposed on the undertaker or, as the case may be, the person by or under this Act , the Water Act 2014 or any of the water consolidation Acts ;

(c) in pursuance of any duty imposed by section 197(1)(a) or (2) or 203(1), (1A), (2) or (2A) of the Water Resources Act 1991 or section 27H of the Water Industry Act 1991 ;

(d) for the purpose of facilitating the carrying out by—

(i) any Minister of the Crown;

(ii) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(iii) the Competition and Markets Authority ;

(iv) the Office of Communications ;

(v) the Civil Aviation Authority;

(vi) the Director General of Gas Supply;

(vii) the Director General of Electricity Supply; or

(viii) a local weights and measures authority in England and Wales,

of any of his, its or, as the case may be, their functions under any of the enactments or instruments specified in subsection (3) below;

(e) for the purpose of enabling or assisting the Secretary of State, the Treasury , the Financial Conduct Authority, the Prudential Regulation Authority or the Bank of England to exercise any powers conferred by or under the Financial Services and Markets Act 2000 , by or under the Consumer Credit Act 1974 or by the enactments relating to companies or insolvency;

(ea) for the purpose of enabling or assisting any inspector appointed under enactments relating to companies to carry out his functions;

(f) for the purpose of enabling an official receiver to carry out his functions under the enactments relating to insolvency or for the purpose of enabling or assisting a recognised professional body for the purposes of section 391 of the Insolvency Act 1986 to carry out its functions as such;

(g) for the purpose of facilitating the carrying out by ... the Health and Safety Executive of any of its functions under any enactment or of facilitating the carrying out by any enforcing authority, within the meaning of Part I of the Health and Safety at Work etc. Act 1974, of any functions under a relevant statutory provision, within the meaning of that Act;

(ga) for the purpose of facilitating the carrying out by the Office for Nuclear Regulation of any of its functions under any enactment;

(h) for the purpose of facilitating the carrying out by the Comptroller and Auditor General of any of his functions under any enactment;

(i) in connection with the investigation of any criminal offence or for the purposes of any criminal proceedings;

(j) for the purposes of any civil proceedings brought under or by virtue of this Act , any of the water consolidation Acts , the Environment Act 1995 , the Water Act 2003 , the Water Act 2014 or any of the enactments or instruments specified in subsection (3) below or of any arbitration under this Act or any of those Acts ; or

(k) in pursuance of an assimilated obligation .

(3) The enactments and instruments referred to in subsection (2) above are—

(a) the Trade Descriptions Act 1968;

(b) the Fair Trading Act 1973;

(c) the Consumer Credit Act 1974;

(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(e) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(f) the Estate Agents Act 1979;

(g) the Competition Act 1980;

(h) the Telecommunications Act 1984;

(i) the Airports Act 1986;

(j) the Gas Act 1986;

(k) the Consumer Protection Act 1987;

(l) the Electricity Act 1989;

(ll) the Competition Act 1998

(lm) Part I of the Transport Act 2000.

(ln) the Enterprise Act 2002;

(lo) the Communications Act 2003;

(lp) any subordinate legislation made for the purpose of securing compliance with Directive 2005/29/ EC of the European Parliament and of the Council of 11 May 2005 concerning unfair business-to-consumer commercial practices in the internal market;

(m) any subordinate legislation made for the purpose of securing compliance with Directive 2006/114/ European Union of the European Parliament and of the Council of 12 December 2006 concerning misleading and comparative advertising;

(n) Part 1 of the Civil Aviation Act 2012

(o) Parts 3 and 4 of the Enterprise and Regulatory Reform Act 2013;

(p) the following provisions of the Digital Markets, Competition and Consumers Act 2024—

(i) Part 3;

(ii) Chapter 1 of Part 4;

(iii) Chapter 2 of Part 5.

(4) Nothing in subsection (1) above shall be construed—

(a) as limiting the matters which may be published under section 201 of the Water Industry Act 1991 or may be included in, or made public as part of, a report of the Environment Agency, the Scottish Environment Protection Agency , the Natural Resources Body for Wales the Water Services Regulation Authority , the Consumer Council for Water (or any regional committee of that Council established under section 27A of the Water Industry Act 1991) or the Competition and Markets Authority under any provision of the water consolidation Acts or the Environment Act 1995 ; or

(b) as applying to any information which has been so published or has been made public as part of such a report or to any information exclusively of a statistical nature.

(5) Any person who discloses any information in contravention of this section shall be guilty of an offence and liable—

(a) on summary conviction, to a fine not exceeding the statutory maximum;

(b) on conviction on indictment, to imprisonment for a term not exceeding two years or to a fine or to both.

(6) Subject to subsection (7) below, nothing in this section shall preclude the disclosure of information—

(a) if the disclosure is of information relating to a matter connected with the carrying out of the functions of a water undertaker or sewerage undertaker , or with the carrying on by a person holding a licence under Chapter 1A of Part 2 of the Water Industry Act 1991 of activities under the person's licence , and is made by one Minister of the Crown or Government department to another; or

(b) if the disclosure is for the purpose of enabling or assisting any public or other authority for the time being designated for the purposes of this section by an order made by the Secretary of State to discharge any functions which are specified in the order.

(7) The power to make an order under subsection (6) above shall be exercisable by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament; and where such an order designates an authority for the purposes of paragraph (b) of that subsection, the order may—

(a) impose conditions subject to which the disclosure of information is permitted by virtue of that paragraph; and

(b) otherwise restrict the circumstances in which disclosure is so permitted.

(8) in this section “ the water consolidation Acts ” means the Water Resources Act 1991, the Water Industry Act 1991, ... the Land Drainage Act 1991 and the Water Consolidation (Consequential Provisions) Act 1991.

(9) In this section the reference to the Bank of England does not include the Bank acting in its capacity as the Prudential Regulation Authority.

175 Making of false statements etc.

(1) If any person, in furnishing any information or making any application under or for the purposes of any provision of this Act, makes any statement which he knows to be false in a material particular, or recklessly makes any statement which is false in a material particular, he shall be guilty of an offence and liable—

(a) on summary conviction, to a fine not exceeding the statutory maximum;

(b) on conviction on indictment, to a fine.

(2) Proceedings for an offence under subsection (1) above shall not be instituted except by or with the consent of the Secretary of State, the Minister or the Director of Public Prosecutions.

176 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Offences

177 Offences by bodies corporate.

(1) Where a body corporate is guilty of an offence under this Act and that offence is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of, any director, manager, secretary or other similar officer of the body corporate or any person who was purporting to act in any such capacity, he, as well as the body corporate, shall be guilty of that offence and shall be liable to be proceeded against and punished accordingly.

(2) Where the affairs of a body corporate are managed by its members, subsection (1) above shall apply in relation to the acts and defaults of a member in connection with his functions of management as if he were a director of the body corporate.

178—182. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Financial provisions

183 General financial provisions.

There shall be paid out of money provided by Parliament—

(a) any administrative expenses or charges incurred by any Minister of the Crown or Government department in consequence of the provisions of this Act; and

(b) any increase attributable to this Act in the sums payable out of money so provided under any other Act.

184 Government guarantees.

(1) This section applies in relation to any guarantee given by the Secretary of State under section . . . 84(2) above . . ..

(2) Immediately after a guarantee to which this section applies is given, the guarantor shall lay a statement of the guarantee before each House of Parliament; and where any sum is paid out for fulfilling such a guarantee the guarantor shall, as soon as possible after the end of each financial year (beginning with that in which the sum is paid out and ending with that in which all liability in respect of the principal of the sum and in respect of the interest thereon is finally discharged), lay before each House of Parliament a statement relating to that sum.

(3) Any sums required by the Secretary of State . . . for fulfilling a guarantee to which this section applies shall be paid out of money provided by Parliament.

(4) . . . if any sums are paid out in fulfilment of a guarantee to which this section applies, the relevant person shall make to the guarantor, at such times and in such manner as the guarantor may from time to time direct—

(a) payments of such amounts as the guarantor may so direct in or towards repayment of the sums so paid out; and

(b) payments of interest, at such rate as the guarantor may so direct, on what is outstanding for the time being in respect of sums so paid out;

and the consent of the Treasury shall be required for the giving of a direction under this subsection.

(5) Any sums received by the Secretary of State . . . under subsection (4) above shall be paid into the Consolidated Fund.

(6) In subsection (4) above “ the relevant person ”, in relation to a guarantee, means the person who borrowed the sums in respect of which the guarantee was given.

Subordinate legislation

185 Powers to make regulations.

(1) The powers of the Secretary of State, and those of the Minister, to make regulations under this Act shall be exercisable by statutory instrument subject . . . to annulment in pursuance of a resolution of either House of Parliament.

(2) The provisions of any regulations made by the Secretary of State or the Minister under this Act may include—

(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(b) provision which, in relation to the furnishing of any information or the making of any application under the regulations, makes provision corresponding to section 175 above;

(c) provision for anything falling to be determined under the regulations to be determined by such persons, in accordance with such procedure and by reference to such matters and to the opinion of such persons as may be prescribed;

(d) different provision for different cases, including different provision in relation to different persons, circumstances or localities; and

(e) such supplemental, consequential and transitional provision as the Secretary of State or the Minister considers appropriate.

186 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Interpretation provisions

187 Interpretation of references to the service of documents.

(1) Any document required or authorised by virtue of this Act to be served on any person may be served—

(a) by delivering it to him or by leaving it at his proper address or by sending it by post to him at that address; or

(b) if the person is a body corporate, by serving it in accordance with paragraph (a) above on the secretary or clerk of that body; or

(c) if the person is a partnership, by serving it in accordance with paragraph (a) above on a partner or a person having the control or management of the partnership business.

(2) For the purposes of this section and section 7 of the Interpretation Act 1978 (which relates to the service of documents by post) in its application to this section, the proper address of any person on whom a document is to be served shall be his last known address, except that—

(a) in the case of service on a body corporate or its secretary or clerk, it shall be the address of the registered or principal office of the body;

(b) in the case of service on a partnership or a partner or a person having the control or management of a partnership business, it shall be the address of the principal office of the partnership;

and for the purposes of this subsection the principal office of a company registered outside the United Kingdom or of a partnership carrying on business outside the United Kingdom is its principal office within the United Kingdom.

(3) If a person to be served by virtue of this Act with any document by another has specified to that other an address within the United Kingdom other than his proper address (as determined in pursuance of subsection (2) above) as the one at which he or someone on his behalf will accept documents of the same description as that document, that address shall also be treated as his proper address for the purposes of this section and for the purposes of the said section 7 in its application to this section.

(4) Where under any provision of this Act any document is required to be served on the owner or on the occupier of any premises then—

(a) if the name or address of the owner or, as the case may be, of the occupier of the premises cannot after reasonable inquiry be ascertained; or

(b) in the case of service on the occupier, if the premises appear to be or are unoccupied,

that document may be served either by leaving it in the hands of a person who is or appears to be resident or employed on the land or by leaving it conspicuously affixed to some building or object on the land.

(5) This section shall not apply to any document in relation to the service of which provision is made by rules of court.

188 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

189 General interpretation.

(1) In this Act, except in so far as the context otherwise requires—

• “ the 1945 Act ” means the Water Act 1945;

• “ the 1973 Act ” means the Water Act 1973;

• “ accessories ”, in relation to a water main, sewer or other pipe, includes any manholes, ventilating shafts, inspection chambers, settling tanks, wash-out pipes, pumps, ferrules or stopcocks for the main, sewer or other pipe, or any machinery or other apparatus which is designed or adapted for use in connection with the use or maintenance of the main, sewer or other pipe or of another accessory for it, but does not include any telecommunication apparatus (within the meaning of Schedule 2 to the Telecommunications Act 1984) unless it—

(a) is or is to be situated inside or in the close vicinity of the main, sewer or other pipe or inside or in the close vicinity of another accessory for it; and

(b) is intended to be used only in connection with the use or maintenance of the main, sewer or other pipe or of another accessory for it;

• “ analyse ”, in relation to any sample of land, water or effluent, includes subjecting the sample to a test of any description, and cognate expressions shall be construed accordingly;

• “ the Authority ” means the National Rivers Authority;

• “ conservancy authority ” means any person who has a duty or power by or under any enactment to conserve, maintain or improve the navigation of a tidal water, and is not a harbour authority or navigation authority;

• “ contravention ” includes a failure to comply, and cognate expressions shall be construed accordingly;

• “ customer or potential customer ”, in relation to a company holding an appointment under Chapter I of Part II of this Act, means—

(a) any person for or to whom that company provides any services in the course of carrying out the functions of a water undertaker or sewerage undertaker; or

(b) any person who might become such a person on making an application for the purpose to the company;

• “ damage ”, in relation to individuals, includes personal injury and death;

• “ the Director ” means the Director General of Water Services;

• “ disposal ”—

(a) in relation to land or any interest or right in or over land, includes the creation of such an interest or right and a disposal effected by means of the surrender or other termination of any such interest or right; and

(b) in relation to sewage, includes treatment;

and cognate expressions shall be construed accordingly;

• “ domestic purposes ”, except in relation to sewers, shall be construed in accordance with subsections (2) and (3) below;

• “ drain ” has, subject to subsection (4) below, the same meaning as in the Public Health Act 1936;

• “ effluent ” means any liquid, including particles of matter and other substances in suspension in the liquid;

• “ enactment ” includes an enactment contained in this Act or in any Act passed after this Act;

• “ engineering or building operations ”, without prejudice to the generality of that expression, includes—

(a) the construction, alteration, improvement, maintenance or demolition of any building or structure or of any reservoir, watercourse, dam, weir, well, borehole or other works; and

(b) the installation, modification or removal of any machinery or apparatus;

• “ financial year ” means the twelve months ending with 31st March;

• “ functions ”, in relation to the Authority or a water undertaker or sewerage undertaker, means the functions of the Authority or, as the case may be, of such an undertaker under or by virtue of any enactment and shall be construed subject to section 188 above;

• “ harbour authority ” means a person who is a harbour authority within the meaning of the Prevention of Oil Pollution Act 1971 and is not a navigation authority;

• “ highway ” has the same meaning as in the Highways Act 1980;

• “ holding company ” has the same meaning as in the the Companies Acts (see section 1159 of the Companies Act 2006) ;

• “ house ” means any building or part of a building which is occupied as a dwelling-house, whether or not a private dwelling-house, or which, if unoccupied, is likely to be so occupied;

• “ information ” includes anything contained in any records, accounts, estimates or returns;

• “ inland waters ”, except in Chapter I of Part III of this Act, has the same meaning as in the Water Resources Act 1963;

• “ limited company ” means a company within the meaning of the Companies Act 1985 which is limited by shares;

• “ local authority ” means the council of a district or of a London borough or the Common Council of the City of London;

• “ local statutory provision ” means—

(a) a provision of a local Act (including an Act confirming a provisional order);

(b) a provision of so much of any public general Act as has effect with respect to a particular area, with respect to particular persons or works or with respect to particular provisions falling within any paragraph of this definition;

(c) a provision of an instrument made under any provision falling within paragraph (a) or (b) above; or

(d) a provision of any other instrument which is in the nature of a local enactment;

• “ micro-organism ” includes any microscopic biological entity which is capable of replication;

• “ the Minister ” means the Minister of Agriculture, Fisheries and Food;

• “ modifications ” includes additions, alterations and omissions, and cognate expressions shall be construed accordingly;

• “ the Monopolies Commission ” means the Monopolies and Mergers Commission;

• “ navigation authority ” means any person who has powers under any enactment to work, maintain, conserve, improve or control any canal or other inland navigation, navigable river, estuary, harbour or dock;

• “ notice ” means notice in writing;

• “ owner ”, in relation to any premises, means the person who—

(a) is for the time being receiving the rack-rent of the premises, whether on his own account or as agent or trustee for another person; or

(b) would receive the rack-rent if the premises were let at a rack-rent,

and cognate expressions shall be construed accordingly;

• “ prescribed ” means prescribed by or determined under regulations made by the Secretary of State or, in relation to regulations made by the Minister, those regulations;

• “ protected land ”, in relation to a company holding an appointment under Chapter I of Part II of this Act, means any land which, or any interest or right in or over which—

(a) was transferred to that company in accordance with a scheme under Schedule 2 to this Act or, where that company is a statutory water company, is or was held by that company at any time during the financial year current on the transfer date;

(b) is or has at any time on or after the transfer date been held by that company for purposes connected with the carrying out of its functions as a water undertaker or sewerage undertaker (including any functions which for the purposes for which section 188 above has effect are taken to be such functions by virtue of subsection (6) or (7) of that section); or

(c) has been transferred to that company in accordance with a scheme under Schedule 5 to this Act from another company in relation to which that land was protected land when the other company held an appointment under that Chapter;

• “ public authority ” means any Minister of the Crown or government department, the Authority, any local authority or county council or any person certified by the Secretary of State to be a public authority for the purposes of this Act;

• “ public sewer ” means a sewer for the time being vested in a sewerage undertaker in its capacity as such, whether vested in that undertaker by virtue of a scheme under Schedule 2 or 5 to this Act or under section 153 above or otherwise, and “ private sewer ” shall be construed accordingly;

• “ records ” includes computer records and any other records kept otherwise than in a document;

• “ service pipe ” means, subject to subsection (4) below, so much of a pipe which is, or is to be, connected with a water main for supplying water from that main to any premises—

(a) as is or is to be subject to water pressure from that main; or

(b) as would be so subject but for the closing of some valve,

and includes part of any service pipe;

• “ services ” includes facilities;

• “ sewer ” has, subject to subsection (4) below, the same meaning as in the Public Health Act 1936;

• “ sewerage services ” includes the disposal of sewage and any other services which are required to be provided by a sewerage undertaker for the purpose of carrying out its functions;

• “ sewerage undertaker ” shall be construed in accordance with section 11 above;

• “ statutory water company ” means any company which is a statutory water company for the purposes of the 1973 Act immediately before the transfer date;

• “ stopcock ” includes any box or pit in which a stopcock is enclosed and the cover to any such box or pit;

• “ street ” has, subject to subsection (5) below, the same meaning as in the Public Utilities Street Works Act 1950;

• “ subordinate legislation ” has the same meaning as in the Interpretation Act 1978;

• “ subsidiary ” has the same meaning as in the Companies Act 1985;

• “ substance ” includes micro-organisms and any natural or artificial substance or other matter, whether it is in solid or liquid form or in the form of a gas or vapour;

• “ successor company ” means a company nominated in accordance with section 4 above as the successor company of a water authority and, in relation to any water authority, means the company so nominated in relation to that authority;

• “ supply of water in bulk ” means a supply of water for distribution by a water undertaker taking the supply;

• “ surface water ” includes water from roofs;

• “ transfer date ” means the day appointed as the transfer date in accordance with section 4 above;

• “ trunk main ” means a water main which is or is to be used by a water undertaker for the purpose of—

(a) conveying water from a source of supply to a filter or reservoir or from one filter or reservoir to another filter or reservoir; or

(b) conveying water in bulk, whether in the course of taking a supply of water in bulk or otherwise, between different places outside the area of the undertaker, from such a place to any part of that area or from one part of that area to another part of that area;

• “ underground strata ” means strata subjacent to the surface of any land;

• “ vessel ” includes a hovercraft within the meaning of the Hovercraft Act 1968;

• “ water authority ” means an authority established in accordance with section 2 of the 1973 Act;

• “ water main ” means, subject to subsection (4) below, any pipe, not being a pipe for the time being vested in a person other than the undertaker, which is used or to be used by a water undertaker for the purpose of making a general supply of water available to customers or potential customers of the undertaker, as distinct from for the purpose of providing a supply to particular customers;

• “ water undertaker ” shall be construed in accordance with section 11 above;

• “ watercourse ” includes all rivers, streams, ditches, drains, cuts, culverts, dykes, sluices, sewers and passages through which water flows except mains and other pipes which belong to the Authority or a water undertaker or are used by a water undertaker or any other person for the purpose only of providing a supply of water to any premises.

(2)—(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6) A company shall be regarded for the purposes of this Act as wholly owned by the Crown at any time when each of the issued shares is held by, or by a nominee of, the Treasury, the Secretary of State or another company which is wholly owned by the Crown.

(7) For the purposes of any provision of this Act by or under which power is or may be conferred on any person to recover the expenses incurred by that person in doing anything, those expenses shall be assumed to include such sum as may be reasonable in respect of establishment charges or overheads.

(8) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(9) Where by virtue of any provision of this Act any function of a Minister of the Crown is exercisable concurrently by different Ministers, that function shall also be exercisable jointly by any two or more of those Ministers.

(10) References in this Act to anything done under or for the purposes of any enactment contained in this Act or to anything done by or in relation to any person shall include references to anything which, by virtue of any provision made by or under this Act, has effect as if done under or for the purposes of that enactment or, as the case may be, by or in relation to that person.

Other supplemental provisions

190 Amendments, transitional provisions, savings and repeals.

(1) The enactments mentioned in Schedule 25 to this Act shall have effect subject to the amendments there specified (being minor amendments or amendments consequential on the preceding provisions of this Act); and, without prejudice to any power conferred by any other provision of this Act, the Secretary of State and the Minister shall each have power by regulations to make such additional consequential amendments—

(a) of public general enactments not mentioned in that Schedule but passed before, or in the same Session as, this Act; and

(b) of subordinate legislation made before the passing of this Act,

as he considers necessary or expedient by reason of the coming into force of any provision of this Act.

(2) The transitional provisions and savings contained in Schedule 26 to this Act shall have effect; but those provisions and savings are without prejudice to sections 16 and 17 of the Interpretation Act 1978 (effect of repeals) or to the transfer, in accordance with a scheme under Schedule 2 to this Act, of any rights or liabilities saved by virtue of those sections.

(3) The enactments mentioned in Schedule 27 to this Act (which include some which are spent or no longer of practical utility) are hereby repealed to the extent specified in the third column of that Schedule.

(4) Subject to paragraphs 17, 46 and 53 of Schedule 26 to this Act, any reference in that Schedule or in Schedule 27 to this Act to a provision of Schedule 3 to the 1945 Act shall have effect, without prejudice to section 20(2) of the Interpretation Act 1978 (references to enactments to include references to enactments as amended, extended or applied), as including a reference to that provision as applied, with or without modifications, by any local statutory provision.

191 Local statutory provisions: consequential amendments etc.

(1) If it appears to the Secretary of State or the Minister to be appropriate to do so—

(a) for the purposes of, or in consequence of, the coming into force of any enactment contained in this Act; or

(b) in consequence of the effect or operation at any time after the transfer date of any such enactment or of anything done under any such enactment,

he may by order repeal, amend or re-enact (with or without modifications) any local statutory provision, including, in the case of an order by virtue of paragraph (b) above, a provision amended by virtue of paragraph (a) above.

(2) An order made by the Secretary of State or the Minister under subsection (1) above may—

(a) make provision applying generally in relation to local statutory provisions of a description specified in the order;

(b) make different provision for different cases, including different provision in relation to different persons, circumstances or localities;

(c) contain such supplemental, consequential and transitional provision as the Secretary of State or, as the case may be, the Minister considers appropriate; and

(d) in the case of an order made after the transfer date, require provision contained in the order to be treated as if it came into force on that date.

(3) The power under this section to repeal or amend a local statutory provision shall include power to modify the effect in relation to any local statutory provision of any provision of Schedule 26 to this Act.

(4) Nothing in any order under this section may abrogate or curtail the effect of so much of any local statutory provision as confers any right of way or confers on or preserves for the public—

(a) any right of enjoyment of air, exercise or recreation on land; or

(b) any right of access to land for the purposes of exercise or recreation.

(5) The power to make an order under subsection (1) above shall be exercisable by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament.

(6) Subject to the provisions of Schedule 26 to this Act, nothing in any local statutory provision passed or made before the transfer date shall be construed as relieving any water undertaker or sewerage undertaker from any liability arising by virtue of this Act in respect of any act or omission occurring on or after that date.

192 Application to Crown land etc.

(1) Subject to the following provisions of this section, the provisions of this Act shall have effect in relation to land in which there is a Crown or Duchy interest as they have effect in relation to land in which there is no such interest.

(2) Subject to subsection (3) below, a power which is conferred by or under this Act in relation to land shall be exercisable in relation to any land in which there is a Crown or Duchy interest only with the consent of the appropriate authority.

(3) Subsection (2) above shall not require any consent to be given—

(a) for the exercise of any power in relation to any land in which there is a Crown or Duchy interest to the extent that that power would be so exercisable apart from subsection (1) above;

(b) for the imposition in relation to any premises in which there is a Crown or Duchy interest of any charges for a service provided by a water undertaker or sewerage undertaker in the course of carrying out its functions; . . .

(c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

but nothing in this section shall be construed as authorising the Authority to require the Crown to make any payment to the Authority in respect of any premises.

(4) A consent given for the purposes of subsection (2) above may be given on such financial and other conditions as the appropriate authority giving the consent may consider appropriate.

(5) In this section—

• “ the appropriate authority ” has the same meaning as in section 293 of the Town and Country Planning Act 1990 ; and

• “ Crown or Duchy interest ” means an interest belonging to Her Majesty in right of the Crown or of the Duchy of Lancaster, or to the Duchy of Cornwall, or belonging to a government department or held in trust for Her Majesty for the purposes of a government department;

and the provisions of subsection (3) of the said section 293 as to the determination of questions shall apply for the purposes of this section.

193 Application to Isles of Scilly.

(1) Subject to the provisions of any order under this section, nothing in this Act shall require or authorise any function, duty or power to be carried out, performed or exercised in relation to the Isles of Scilly by the Authority, a water undertaker or sewerage undertaker; and references in the preceding provisions of this Act to England and Wales shall not include references to those Isles.

(2) The Secretary of State may, on the application of the Council of the Isles of Scilly, by order make provision with respect to the carrying out in those Isles of functions falling under this Act to be carried out in relation to other parts of England and Wales by the Authority, by a water undertaker or by a sewerage undertaker; and, without prejudice to the generality of that power, an order under this section may apply any provision of this Act in relation to the Isles of Scilly with or without modifications.

(3) The power of the Secretary of State to make an order under this section shall be exercisable by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament; and such an order may—

(a) make different provision for different cases, including different provision in relation to different persons, circumstances or localities; and

(b) contain such supplemental, consequential and transitional provision as the Secretary of State considers appropriate, including provision saving provision repealed by or under any enactment.

194 Short title, commencement and extent.

(1) This Act may be cited as the Water Act 1989.

(2) This section, so much of this Act as confers any power to make subordinate legislation or makes provision with respect to the exercise of any such power and sections 29 and 30 above shall come into force on the passing of this Act.

(3) The following provisions of this Act, except in so far as they are already in force in accordance with subsection (2) above, shall come into force on the transfer date, namely—

(a) sections 15 to 28 (including Schedules 5 and 6), section 31 and sections 33 to 36;

(b) Chapters II to V of Part II, except section 79;

(c) section 97;

(d) Parts III and IV, except so far as relating to the amendment, in Schedule 17, to the Salmon and Freshwater Fisheries (Protection) (Scotland) Act 1951;

(e) Part V, except so far as relating to sections 33, 47 and 48 of the Control of Pollution Act 1974;

(f) Schedule 26 and section 190 so far as relating to that Schedule; and

(g) Part I of Schedule 27 and section 190 so far as relating to that Part of that Schedule.

(4) The provisions of this Act not brought into force on the passing of this Act or on the transfer date by subsection (2) or (3) above shall come into force on such day (whether that date or a day before or after that date) as the Secretary of State may by order made by statutory instrument appoint; and different days may be so appointed for different provisions or for different purposes.

(5) An order made by the Secretary of State under subsection (4) above may make such transitional provisions and savings in connection with the bringing into force by that order of any provision of this Act as the Secretary of State considers appropriate.

(6) This section and the following provisions of this Act shall extend to the whole of the United Kingdom, namely—

(a) Schedules 2 and 5 and sections 4, 13 and 23 so far as relating to any scheme under either of those Schedules;

(b) section 95; and

(c) any amendment or repeal by this Act of any provision contained in the Parliamentary Commissioner Act 1967, the Capital Allowances Act 1968, the House of Commons Disqualification Act 1975 or the Northern Ireland Assembly Disqualification Act 1975.

(7) Subject to any enactment by virtue of which a provision of this Act has effect in relation to any part of the territorial sea adjacent to or to any part of Great Britain, the following provisions of this Act shall extend to Great Britain only, namely—

(a) section 136 and Schedule 15 so far as they amend section 32 of the Land Drainage Act 1976;

(b) subsections (1) to (4), (6) and (7) of section 141 and, so far as they amend the Diseases of Fish Act 1937 or section 39 of the Salmon and Freshwater Fisheries Act 1975 (border rivers), subsection (5) of the said section 141 and Schedule 17;

(c) section 172;

(d) section 190 and Schedule 25 so far as they relate to the Agriculture Act 1970, the Health and Safety at Work etc. Act 1974 . . .; and

(e) section 190 and Schedule 27 so far as they relate to the Diseases of Fish Act 1937, the Border Rivers (Prevention of Pollution) Act 1951, section 126 of the Water Resources Act 1963 (border rivers), section 39(4) of the Salmon and Freshwater Fisheries Act 1975 and the Diseases of Fish Act 1983.

(8) The following provisions of this Act shall extend to Scotland only (subject, in the case of paragraph (a) below, to the application of sections 21 and 22 of the Salmon and Freshwater Fisheries (Protection) (Scotland) Act 1951 to any provision of that Act), namely—

(a) subsection (5) of section 141 above and Schedule 17 to this Act, so far as they amend section 15 of the Salmon and Freshwater Fisheries (Protection) (Scotland) Act 1951;

(b) Part V;

(c) section 190 and Schedule 25 so far as they amend the Public Health (Scotland) Act 1897, the Agricultural Holdings (Scotland) Act 1949, the Rivers (Prevention of Pollution) (Scotland) Act 1951, the Valuation and Rating (Scotland) Act 1956 and the Water (Scotland) Act 1980;

(d) section 190 and Part I of Schedule 27 so far as they relate to section 104 of the Control of Pollution Act 1974.

(9) Subject to subsections (6) to (8) above, to any enactment by virtue of which a provision of this Act has effect in relation to any part of the territorial sea adjacent to England and Wales and to the application of section 39(1) of the Salmon and Freshwater Fisheries Act 1975 (border rivers) to any provision of this Act in so far as it amends or repeals an enactment contained in the said Act of 1975, this Act shall extend to England and Wales only.

SCHEDULES

Section 1.

SCHEDULE 1 The National Rivers Authority

Part I Organisation and Proceedings etc. of Authority

Membership

1—10. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Parliamentary Commissioner

11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Local Commissioners

12 In section 25(1) of the Local Government Act 1974 (authorities subject to investigation by Local Commissioners), for paragraph (d) there shall be substituted the following paragraph—

“ (d) in relation to the flood defence functions of the National Rivers Authority (that is to say, its functions by virtue of Chapter III of Part III of the Water Act 1989, including all its functions under the Land Drainage Act 1976), the National Rivers Authority and any regional flood defence committee. ”

Parliamentary disqualification etc.

13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Interpretation

14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Part II

15—23. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 4.

SCHEDULE 2 Schemes providing for the Initial Transfers

Making and modification of schemes

1 (1) Each of the water authorities shall make a scheme under this Schedule for the division of all their property, rights and liabilities between their successor company and the Authority.

(2) Where a scheme under this Schedule is made by a water authority it shall not take effect unless it is approved by the Secretary of State.

(3) Where a scheme under this Schedule is submitted to the Secretary of State for his approval, he may modify the scheme before approving it.

(4) If—

(a) a water authority fail, before such time as may be notified by the Secretary of State to that water authority as the latest time for the submission of a scheme under this Schedule, to submit such a scheme for the approval of the Secretary of State; or

(b) the Secretary of State decides not to approve a scheme that has been submitted to him by a water authority (either with or without modifications),

the Secretary of State may himself make a scheme under this Schedule for the division of that water authority’s property, rights and liabilities between the water authority’s successor company and the Authority.

(5) If at any time after a scheme under this Schedule has come into force in relation to the property, rights and liabilities of any water authority the Secretary of State considers it appropriate to do so and either—

(a) the water authority’s successor company has consented to the making of the order; or

(b) that company is for the time being wholly owned by the Crown and has been consulted by the Secretary of State,

the Secretary of State may by order provide that that scheme shall for all purposes be deemed to have come into force with such modifications as may be specified in the order.

(6) An order under sub-paragraph (5) above may make, with effect from the coming into force of the scheme to which it relates, any such provision as could have been made by the scheme and, in connection with giving effect to that provision from that time, may contain such supplemental, consequential and transitional provision as the Secretary of State considers appropriate.

(7) In determining whether and in what manner to exercise any power conferred on him by this paragraph the Secretary of State shall have regard to the need to ensure—

(a) that any division of property, rights and liabilities between a successor company and the Authority which is effected under this Schedule allocates property, rights and liabilities to them in such proportions as appear to him to be appropriate in the context of the different functions which will, by virtue of this Act, be carried out by the company and the Authority; and

(b) that the scheme contains all such provision as he considers should take effect on the transfer date in relation to the property, rights or liabilities allocated by the scheme as provision contained in arrangements under section 126 of this Act.

(8) It shall be the duty of a water authority to provide the Secretary of State with all such information and other assistance as he may reasonably require for the purposes of, or in connection with, the exercise of any power conferred on him by this paragraph.

Transfers by scheme

2 (1) Where a scheme under this Schedule for the division of a water authority’s property, rights and liabilities comes into force on the transfer date, this paragraph shall have effect on that date so as, in accordance with the scheme’s provisions and without further assurance—

(a) to transfer to the Authority such of the property, rights and liabilities as are allocated to the Authority for the purposes of the division made by the scheme; and

(b) to transfer to the water authority’s successor company the remainder of the property, rights and liabilities;

and accordingly the said remainder shall be treated for the purposes of this Act as allocated to that company.

(2) For the purpose of making a division of any property, rights or liabilities between a successor company and the Authority the provisions of a scheme under this Schedule may—

(a) allocate to the Authority such property, rights and liabilities to which the water authority may become entitled or subject after the making of the scheme and before the transfer date as may be described in the scheme;

(b) create for the successor company or the Authority an interest in or right over property transferred in accordance with the scheme to the other;

(c) create new rights and liabilities as between the successor company and the Authority; and

(d) in connection with any provision made by virtue of paragraph (b) or (c) above, make incidental provision as to the interests, rights and liabilities of other persons with respect to the subject-matter of the division.

(3) The property, rights and liabilities of a water authority that shall be capable of being transferred in accordance with a scheme under this Schedule shall include—

(a) property, rights and liabilities that would not otherwise be capable of being transferred or assigned by the water authority;

(b) property situated anywhere in the United Kingdom or elsewhere;

(c) rights and liabilities under enactments, including—

(i) such rights and liabilities as may arise after the transfer date by virtue of enactments amended or repealed by this Act and, in pursuance of provision contained in Schedule 26 to this Act, may be the subject of an allocation made by a scheme under this Schedule; and

(ii) other rights and liabilities under enactments which are amended or repealed by this Act subject to a saving;

(d) rights and liabilities under the law of any part of the United Kingdom or of any country or territory outside the United Kingdom.

(4) The rights and liabilities that may be created by virtue of paragraph (c) of sub-paragraph (2) above shall include rights and liabilities which, with effect from the transfer date, shall have effect as if contained in arrangements under section 126 of this Act; and the provision that may be made by virtue of that paragraph includes—

(a) provision for treating any person who is entitled by virtue of a scheme under this Schedule to possession of a document as having given another person an acknowledgement in writing of the right of that other person to the production of the document and to delivery of copies thereof; and

(b) provision applying section 64 of the Law of Property Act 1925 (production and safe custody of documents) in relation to any case in relation to which provision falling within paragraph (a) above has effect.

(5) For the avoidance of doubt, it is hereby declared that the transfers authorised by paragraph (a) of sub-paragraph (3) above include transfers which, by virtue of that paragraph, are to take effect as if there were no such contravention, liability or interference with any interest or right as there would be, in the case of a transfer or assignment otherwise than by virtue of this Schedule, by reason of any provision having effect (whether under any enactment or agreement or otherwise) in relation to the terms on which a water authority is entitled or subject to the property, right or liability in question.

(6) Where apart from this sub-paragraph any person would have power, in consequence of anything done or likely to be done by or under this Act, to terminate or modify an interest or right which is vested in a water authority at the passing of this Act, then—

(a) for the purposes of the transfer of the interest or right in accordance with a scheme under this Schedule, that power shall not be exercisable in relation to that interest or right at any time before its transfer in accordance with such a scheme; and

(b) without prejudice to the preceding provisions of this paragraph or to paragraph 3(2)(a) below, that power shall be exercisable in relation to the interest or right after its transfer only in so far as the scheme provides for it to be transferred subject to the power.

Supplemental provisions of schemes

3 (1) A scheme under this Schedule may contain supplemental, consequential and transitional provision for the purposes of, or in connection with, the division or any other provision made by the scheme.

(2) Without prejudice to the generality of sub-paragraph (1) above, a scheme under this Schedule may provide—

(a) that for purposes connected with any transfers made in accordance with the scheme (including the transfer of rights and liabilities under an enactment) a body to which anything is transferred in accordance with the scheme is to be treated as the same person in law as the water authority from which it is transferred;

(b) that, so far as may be necessary for the purposes of or in connection with any such transfers, agreements made, transactions effected and other things done by or in relation to a water authority from which anything is transferred in accordance with the scheme are to be treated as made, effected or done by or in relation to the body to which it is transferred;

(c) that, so far as may be necessary for the purposes of or in connection with any such transfers, references in any agreement (whether or not in writing) or in any deed, bond, instrument or other document to, or to any member or officer of, a water authority from which anything is transferred in accordance with the scheme are to have effect with such modifications as are specified in the scheme;

(d) that proceedings commenced by or against a water authority are to be continued by or against the water authority’s successor company or the Authority;

(e) that the effect of any transfer under the scheme in relation to contracts of employment with a water authority is not to be to terminate any of those contracts but is to be that periods of employment with that authority are to count for all purposes as periods of employment with the water authority’s successor company or, as the case may require, with the Authority;

(f) that disputes as to the effect of the scheme between the Authority and the successor company to which property, rights and liabilities are transferred in accordance with the scheme are to be referred to such arbitration as may be specified in or determined under the scheme;

(g) that determinations on such arbitrations and certificates given jointly by the Authority and a successor company as to the effect of the scheme as between the Authority and that company are to be conclusive for all purposes.

Duties of water authorities after the scheme comes into force

4 (1) A scheme under this Schedule may provide for the imposition of duties on the water authority from which transfers are made by virtue of the scheme, and on the successor company of that authority and on the Authority, to take all such steps as may be requisite to secure that the vesting in the successor company or the Authority, by virtue of the scheme, of any foreign property, right or liability is effective under the relevant foreign law.

(2) The provisions of a scheme under this Schedule may require a water authority to comply with any directions of their successor company or of the Authority in performing any duty imposed on the water authority by virtue of a provision included in the scheme under sub-paragraph (1) above.

(3) A scheme under this Schedule may provide that, until the vesting of any foreign property, right or liability of a water authority in the successor company of that authority or in the Authority is effective under the relevant foreign law, it shall be the duty of the water authority to hold that property or right for the benefit of, or to discharge that liability on behalf of, the successor company or, as the case may be, the Authority.

(4) Nothing in any provision included by virtue of this paragraph in a scheme under this Schedule shall be taken as prejudicing the effect under the law of any part of the United Kingdom of the vesting by virtue of the scheme in a successor company, or in the Authority, of any foreign property, right or liability.

(5) A water authority shall have all such powers as may be requisite for the performance of any duty imposed on them by any provision included by virtue of this paragraph in a scheme under this Schedule; but such a scheme may require a successor company or the Authority to act on behalf of a water authority (so far as possible) for the purposes of, or in connection with, the performance of any such duty.

(6) A scheme under this Schedule may provide that any foreign property, rights or liabilities that are acquired or incurred by a water authority after the scheme comes into force are immediately to become property, rights or liabilities of the water authority’s successor company or of the Authority; and such a scheme may make the same provision in relation to any such property, rights or liabilities as can be made, by virtue of the preceding provisions of this paragraph, in relation to foreign property, rights and liabilities vested in a water authority when the scheme comes into force.

(7) References in this paragraph to any foreign property, right or liability are references to any property, right or liability as respects which any issue arising in any proceedings would have to be determined (in accordance with the rules of private international law) by reference to the law of a country or territory outside the United Kingdom.

(8) Any expenses incurred by a water authority in consequence of any provision included by virtue of this paragraph in a scheme under this Schedule shall be met, in such proportions as may be determined by or under the scheme, by the water authority’s successor company and the Authority.

Section 5.

SCHEDULE 3 The Director General of Water Services

1—5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Parliamentary Commissioner

6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Parliamentary disqualification etc.

7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 6.

SCHEDULE 4 Customer Service Committees

1—5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Parliamentary disqualification etc.

6 In the House of Commons Disqualification Act 1975, in Part III of Schedule 1 (other disqualifying offices), there shall be inserted (at the appropriate place) the following entry—

“ Chairman of a customer service committee established under section 6 of the Water Act 1989. ” ;

and the like insertion shall be made in Part III of Schedule 1 to the Northern Ireland Assembly Disqualification Act 1975.

Sections 13 and 23.

SCHEDULE 5 Transitional Provision on Termination of Appointments

Cases where Schedule applies

1 (1) This Schedule shall apply in each of the cases specified in sub-paragraphs (2) and (3) below.

(2) The first case in which this Schedule applies is where—

(a) the Secretary of State or the Director is proposing to make an appointment or variation to which section 12 of this Act applies; and

(b) by virtue of that appointment a company (“the new appointee”) will hold an appointment as the water undertaker or sewerage undertaker for an area which is or includes the whole or any part of the area for which until the relevant date another company (“the existing appointee”) holds an appointment as the water undertaker or, as the case may be, sewerage undertaker.

(3) The second case in which this Schedule applies is where—

(a) the High Court has made a special administration order in relation to any company (“the existing appointee”); and

(b) it is proposed that on and after the relevant date another company (“the new appointee”) should, without any such appointment or variation as is mentioned in sub-paragraph (2) above having been made, hold an appointment as water undertaker or sewerage undertaker for an area which is or includes the whole or any part of the area for which until that date the existing appointee holds an appointment as water undertaker or, as the case may be, sewerage undertaker.

(4) In this Schedule—

• “ existing appointee ” and “ new appointee ” shall be construed in accordance with sub-paragraph (2) or (3) above according to whether this Schedule is applying in the case mentioned in the first or second of those sub-paragraphs;

• “ other appointees ” means any companies, other than the existing appointee and the new appointee, which are likely on or at a time after the relevant date to be holding appointments as water undertakers or sewerage undertakers for any area which is or includes any part of the area for which the existing appointee has at any time held an appointment as water undertaker or sewerage undertaker;

• “ the relevant date ” means—

(a) where this Schedule applies by virtue of sub-paragraph (2) above, the coming into force of the appointment or variation mentioned in paragraph (a) of that sub-paragraph; and

(b) where this Schedule applies by virtue of sub-paragraph (3) above, such day, being a day before the discharge of the special administration order takes effect, as the High Court may appoint for the purposes of this Schedule;

• “ special administration order ” means an order under section 23 of this Act (whether made by virtue of that section or section 24 of this Act); and

• “ special administrator ”, in relation to a company in relation to which a special administration order has been made, means the person for the time being holding office for the purposes of section 23(2) of this Act.

Making and modification of transfer schemes

2 (1) The existing appointee, acting with the consent of the new appointee and, in relation to the matters affecting them, of any other appointees, may make a scheme under this Schedule for the transfer of property, rights and liabilities from the existing appointee to the new appointee.

(2) A scheme under this Schedule shall not take effect unless it is approved by the Secretary of State or the Director.

(3) Where a scheme under this Schedule is submitted to the Secretary of State or the Director for his approval, he may, with the consent of the new appointee, of the existing appointee and, in relation to the matters affecting them, of any other appointees, modify the scheme before approving it.

(4) If at any time after a scheme under this Schedule has come into force in relation to the property, rights and liabilities of any company the Secretary of State considers it appropriate to do so and the existing appointee, the new appointee and, in relation to the provisions of the order which affect them, any other appointees consent to the making of the order, the Secretary of State may by order provide that that scheme shall for all purposes be deemed to have come into force with such modifications as may be specified in the order.

(5) An order under sub-paragraph (4) above may make, with effect from the coming into force of the scheme to which it relates, any such provision as could have been made by the scheme and, in connection with giving effect to that provision from that time, may contain such supplemental, consequential and transitional provision as the Secretary of State considers appropriate.

(6) In determining, in accordance with his duties under Part I of this Act, whether and in what manner to exercise any power conferred on him by this paragraph the Secretary of State or the Director shall have regard to the need to ensure that any provision for the transfer of property, rights and liabilities in accordance with a scheme under this Schedule allocates property, rights and liabilities to the different companies affected by the scheme in such proportions as appear to him to be appropriate in the context of the different functions which will, by virtue of this Act, be carried out at different times on and after the relevant date by the new appointee, by the existing appointee and by any other appointees.

(7) It shall be the duty of the new appointee, of the existing appointee and of any other appointees to provide the Secretary of State or the Director with all such information and other assistance as he may reasonably require for the purposes of, or in connection with, the exercise of any power conferred on him by this paragraph.

(8) A company which without reasonable excuse fails to do anything required of it by virtue of sub-paragraph (7) above shall be guilty of an offence and liable, on summary conviction, to a fine not exceeding level 5 on the standard scale.

(9) Without prejudice to the other provisions of this Act relating to the special administrator of a company, anything which is required by this paragraph to be done by a company shall, where that company is a company in relation to which a special administration order is in force, be effective only if it is done on the company’s behalf by its special administrator.

Transfers by scheme

3 (1) A scheme under this Schedule for the transfer of the existing appointee’s property, rights and liabilities shall come into force on the relevant date and, on coming into force, shall have effect, in accordance with its provisions and without further assurance, so as to transfer the property, rights and liabilities to which the scheme relates to the new appointee.

(2) For the purpose of making any division of property, rights or liabilities which it is considered appropriate to make in connection with the transfer of property, rights and liabilities in accordance with a scheme under this Schedule, the provisions of that scheme may—

(a) create for the existing appointee, the new appointee or any other appointees an interest in or right over any property to which the scheme relates;

(b) create new rights and liabilities as between any two or more of those companies; and

(c) in connection with any provision made by virtue of paragraph (a) or (b) above, make incidental provision as to the interests, rights and liabilities of other persons with respect to the subject-matter of the scheme.

(3) A scheme under this Schedule may contain provision for the consideration to be provided by the new appointee and by any other appointees in respect of the transfer or creation of property, rights and liabilities by means of the scheme; and any such provision shall be enforceable in the same way as if the property, rights and liabilities had been created or transferred, and (if the case so requires) had been capable of being created or transferred, by agreement between the parties.

(4) The property, rights and liabilities of the existing appointee that shall be capable of being transferred in accordance with a scheme under this Schedule shall include—

(a) property, rights and liabilities that would not otherwise be capable of being transferred or assigned by the existing appointee;

(b) such property, rights and liabilities to which the existing appointee may become entitled or subject after the making of the scheme and before the relevant date as may be described in the scheme;

(c) property situated anywhere in the United Kingdom or elsewhere;

(d) rights and liabilities under enactments;

(e) rights and liabilities under the law of any part of the United Kingdom or of any country or territory outside the United Kingdom.

(5) Where a scheme under this Schedule is made in the case specified in paragraph 1(3) above, the scheme may provide for the transfer to the new appointee, with such modifications as may be specified in the scheme, of the appointment under tnund r e t uedernent under Chapter I of Part II of this Act which is held by the existing appointee; and in such a case different schemes under this Schedule may provide for the transfer of such an appointment to different companies as respects different parts of the area to which the appointment relates.

(6) The provision that may be made by virtue of sub-paragraph (2)(b) above includes—

(a) provision for treating any person who is entitled by virtue of a scheme under this Schedule to possession of a document as having given another person an acknowledgement in writing of the right of that other person to the production of the document and to delivery of copies thereof; and

(b) provision applying section 64 of the Law of Property Act 1925 (production and safe custody of documents) in relation to any case in relation to which provision falling within paragraph (a) above has effect.

(7) For the avoidance of doubt, it is hereby declared that the transfers authorised by paragraph (a) of sub-paragraph (4) above include transfers which, by virtue of that paragraph, are to take effect as if there were no such contravention, liability or interference with any interest or right as there would be, in the case of a transfer or assignment otherwise than in accordance with a scheme under this Schedule, by reason of any provision having effect (whether under any enactment or agreement or otherwise) in relation to the terms on which the existing appointee is entitled or subject to the property, right or liability in question.

Supplemental provisions of schemes

4 (1) A scheme under this Schedule may contain supplemental, consequential and transitional provision for the purposes of, or in connection with, the provision for the transfers or any other provision made by the scheme.

(2) Without prejudice to the generality of sub-paragraph (1) above, a scheme under this Schedule may provide—

(a) that for purposes connected with any transfers made in accordance with the scheme (including the transfer of rights and liabilities under an enactment) the new appointee is to be treated as the same person in law as the existing appointee;

(b) that, so far as may be necessary for the purposes of or in connection with any such transfers, agreements made, transactions effected and other things done by or in relation to the existing appointee are to be treated as made, effected or done by or in relation to the new appointee;

(c) that, so far as may be necessary for the purposes of or in connection with any such transfers, references in any agreement (whether or not in writing) or in any deed, bond, instrument or other document to, or to any officer of, the existing appointee are to have effect with such modifications as are specified in the scheme;

(d) that proceedings commenced by or against the existing appointee are to be continued by or against the new appointee;

(e) that the effect of any transfer under the scheme in relation to contracts of employment with the existing appointee is not to be to terminate any of those contracts but is to be that periods of employment with the existing appointee are to count for all purposes as periods of employment with the new appointee;

(f) that disputes as to the effect of the scheme between the existing appointee and the new appointee, between either of them and any other appointee or between different companies which are other appointees are to be referred to such arbitration as may be specified in or determined under the scheme;

(g) that determinations on such arbitrations and certificates given jointly by two or more such appointees as are mentioned in paragraph (f) above as to the effect of the scheme as between the companies giving the certificates are to be conclusive for all purposes.

Duties of existing appointee after the scheme comes into force

5 (1) A scheme under this Schedule may provide for the imposition of duties on the existing appointee and on the new appointee to take all such steps as may be requisite to secure that the vesting in the new appointee, by virtue of the scheme, of any foreign property, right or liability is effective under the relevant foreign law.

(2) The provisions of a scheme under this Schedule may require the existing appointee to comply with any directions of the new appointee in performing any duty imposed on the existing appointee by virtue of a provision included in the scheme under sub-paragraph (1) above.

(3) A scheme under this Schedule may provide that, until the vesting of any foreign property, right or liability of the existing appointee in the new appointee is effective under the relevant foreign law, it shall be the duty of the existing appointee to hold that property or right for the benefit of, or to discharge that liability on behalf of, the new appointee.

(4) Nothing in any provision included by virtue of this paragraph in a scheme under this Schedule shall be taken as prejudicing the effect under the law of any part of the United Kingdom of the vesting by virtue of the scheme in the new appointee of any foreign property, right or liability.

(5) A scheme under this Schedule may provide that, in specified cases, foreign property, rights or liabilities that are acquired or incurred by an existing appointee after the scheme comes into force are immediately to become property, rights or liabilities of the new appointee; and such a scheme may make the same provision in relation to any such property, rights or liabilities as can be made, by virtue of the preceding provisions of this paragraph, in relation to foreign property, rights and liabilities vested in the existing appointee when the scheme comes into force.

(6) References in this paragraph to any foreign property, right or liability are references to any property, right or liability as respects which any issue arising in any proceedings would have to be determined (in accordance with the rules of private international law) by reference to the law of a country or territory outside the United Kingdom.

(7) Any expenses incurred by an existing appointee in consequence of any provision included by virtue of this paragraph in a scheme under this Schedule shall be met by the new appointee.

(8) Duties imposed on a company by virtue of this paragraph shall be enforceable in the same way as if they were imposed by a contract between the existing appointee and the new appointee.

Further transitional provision and local statutory provisions

6 (1) The Secretary of State may, if he thinks it appropriate to do so for the purposes of, or in connection with, any appointment or variation to which section 12 of this Act applies or any scheme under this Schedule, by order made by statutory instrument—

(a) make any provision which corresponds in relation to any enactment mentioned in Schedule 26 to this Act to any provision made by that Schedule or makes similar provision in relation to any other enactment;

(b) amend or repeal any local statutory provision.

(2) An order under this paragraph may—

(a) make provision applying generally in relation to local statutory provisions of a description specified in the order;

(b) make different provision for different cases, including different provision in relation to different persons, circumstances or localities; and

(c) contain such supplemental, consequential and transitional provision as the Secretary of State considers appropriate.

SCHEDULE 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

SCHEDULE 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 69.

SCHEDULE 8 Sewerage Functions

General

1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Public Health Act 1936 (c. 49)

2 (1)—(10) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(11) Without prejudice to the powers conferred by virtue of Chapter IV of Part II of this Act, no liability shall arise at any time on or after the transfer date to make a payment by virtue of section 337 of the 1936 Act (saving for certain yearly payments).

(12) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Public Health (Drainage of Trade Premises) Act 1937 (c. 40)

3—5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Building Act 1984 (c. 55)

6 (1) In subsection (1) of section 18 of the Building Act 1984(building over a sewer etc.), for the words in paragraph (b) from “sewer or drain” to “sewers” there shall be substituted the words “drain, sewer or disposal main that is shown on any map of sewers or to erect it on such a site or in such a manner as would result in its interfering with the use of any such drain, sewer or disposal main or in its obstructing the access of any person to any such drain, sewer or disposal main” .

(2) In subsection (2) of that section (notification to water authority)—

(a) for the words in paragraph (b) from “a water” to “sewers” there shall be substituted the words “a drain, sewer or disposal main that is shown on any map of sewers and is vested in a sewerage undertaker or to erect it on such a site or in such a manner as would result in its interfering with the use of any such drain, sewer or disposal main or in its obstructing the access of any person to any such drain, sewer or disposal main” ; and

(b) for the words “the water authority” there shall be substituted the words “the sewerage undertaker” .

(3) For subsection (3) of that section (directions by water authority) there shall be substituted the following subsection—

“ (3) Subject to subsection (4) below, where a sewerage undertaker notifies a local authority of its requirements as to the manner in which the authority are to exercise their functions under subsection (1) above in relation to any case or description of cases affecting any of the undertaker’s drains, sewers or disposal mains and those requirements are reasonable, it shall be the duty of the council so to exercise those functions in accordance with those requirements. ”

(4) In subsection (4) of that section (appeal to magistrates’ court), in paragraph (a) for the words “sewer or drain” there shall be substituted the words “drain, sewer or disposal main” and for paragraph (b) there shall be substituted the following paragraphs—

“ (b) whether the site on which or the manner in which it is proposed to erect a building or an extension of a building is such as would result in the building or extension interfering with the use of any such drain, sewer or disposal main or in its obstructing the access of any person to any such drain, sewer or disposal main; or

(c) whether, and if so on what conditions, a consent ought to be given by a local authority; or

(d) whether, for the purposes of paragraph (c) above, any requirements notified to a local authority by a sewerage undertaker under subsection (3) above are reasonable, ” .

(5) In subsection (5) of that section (interpretation)—

(a) before the definition of “drain” there shall be inserted the following definition—

“ “ disposal main ” has the same meaning as in paragraph 1 of Schedule 19 to the Water Act 1989; ”

(b) for paragraph (a) of the definition of “map of sewers” there shall be substituted the following paragraph—

“ (a) any records kept by a sewerage undertaker under section 166 of the Water Act 1989 (sewer maps) ” .

7 In section 60(4) of the said Act of 1984 (notice of contravention of provisions with respect to the use and ventilation of soil pipes), the words “ or the water authority for the area ” shall be omitted.

SCHEDULES 9—14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 136.

SCHEDULE 15 Amendments of the Land Drainage Act 1976

General

1 (1) Subject to the following provisions of this Schedule and to any repeal made by this Act—

(a) for any reference in the 1976 Act (however framed) to any one or more water authorities there shall be substituted a reference to the Authority;

(b) for any reference in that Act to a regional land drainage committee there shall be substituted a reference to a regional flood defence committee;

(c) for any reference in that Act to a local land drainage scheme there shall be substituted a reference to a local flood defence scheme;

(d) for any reference in that Act to a local land drainage committee there shall be substituted a reference to a local flood defence committee; and

(e) for any reference in that Act to a local land drainage district there shall be substituted a reference to a local flood defence district.

(2) Subject as aforesaid, any function of a Minister of the Crown under any provision of the 1976 Act shall, in so far as immediately before the transfer date it is exercisable by different Ministers according to the water authority in relation to which it is exercised, be exercisable on and after that date concurrently by the Minister of Agriculture, Fisheries and Food and by the Secretary of State.

(3) Any function which is a function of a water authority immediately before the transfer date by virtue of any scheme or order made under the 1976 Act shall, subject to the provisions of that Act, be a function of the Authority on and after that date.

(4) In the 1976 Act, for the words “the main river”, wherever they occur (except where they occur in the expression “the main river map”), there shall be substituted the words “a main river” .

Section 4 of the 1976 Act

2 (1) In subsection (2)(a) of section 4 of the 1976 Act (local land drainage schemes and local land drainage committees), for the word “that” there shall be substituted the word “their” .

(2) For subsection (5) of that section there shall be substituted the following subsection—

“ (5) A local flood defence scheme may define a local flood defence district—

(a) by reference to the districts which were local land drainage districts immediately before the date which is the transfer date for the purposes of the Water Act 1989;

(b) by reference to the area of the regional flood defence committee in which that district is situated;

(c) by reference to a map;

or partly by one of those means and partly by another or the others. ”

Section 5 of the 1976 Act

3 For subsection (6) of section 5 of the 1976 Act (appointment of members and proceedings of local land drainage committees) there shall be substituted the following subsection—

“ (6) In appointing a person to be a member of a local flood defence committee, the regional flood defence committee shall have regard to the desirability of appointing a person who has experience of, and has shown capacity in, some matter relevant to the functions of the committee to which he is appointed. ”

Section 9 of the 1976 Act

4 (1) Section 9 of the 1976 Act (main river maps) shall be amended as follows.

(2) In subsection (1), for the words “of a water authority area relating to the water authority’s land drainage functions” there shall be substituted the words “relating to the area of a regional flood defence committee” .

(3) In subsection (3), for the words “the main river map of the authority’s area” there shall be substituted the words “a main river map” .

(4) For subsection (5) there shall be substituted the following subsection—

“ (5) Where—

(a) the area of a regional flood defence committee is altered so as to affect any of the particulars shown on the main river map for that area, or

(b) the Minister confirms a scheme under section 50 below, or

(c) the National Rivers Authority applies to the Minister for the variation of a main river map, so far as it shows the extent to which any watercourse is to be treated as a main river or part of a main river,

the Minister shall take such action as he considers appropriate either—

(i) by requiring the National Rivers Authority to send him any part of the main river map in question, altering it and sending it back to the National Rivers Authority; or

(ii) by preparing a new main river map and sending it to the National Rivers Authority, or

(iii) by notifying the National Rivers Authority that he does not intend to vary the main river map in question. ”

(5) For subsections (7) and (8) there shall be substituted the following subsections—

“ (7) The National Rivers Authority shall, subject to subsection (5) above, keep the main river map for the area of a regional flood defence committee at the principal office of the National Rivers Authority for that area, and shall provide reasonable facilities for inspecting that map and taking copies of and extracts from it.

(8) Any local authority whose area is wholly or partly within the area of a regional flood defence committee shall, on application to the National Rivers Authority, be entitled to be furnished with copies of the main river map for the area of that committee on payment of such sum as the authority and the National Rivers Authority may agree. ”

Section 17 of the 1976 Act

5 (1) Section 17 of the 1976 Act (general drainage powers) shall be amended as follows.

(2) In subsection (1)—

(a) for the words “acting within their area” there shall be substituted the words “(in the case of an internal drainage board, acting within their district)” ; and

(b) in paragraph (c), for the words “of their area” there shall be substituted the words “of any land” .

(3) For subsection (2) there shall be substituted the following subsection—

“ (2) Subsection (1) above shall not be taken as authorising the National Rivers Authority to do any work otherwise than in connection with a main river, save that the power of that Authority to maintain, improve or construct drainage works for the purpose of defence against sea water or tidal water shall be exercisable below the low-water mark and shall be exercisable (both above and below the low-water mark) irrespective of whether they are works in connection with a main river. ”

(4) For subsection (3) there shall be substituted the following subsection—

“ (3) The National Rivers Authority may construct all such works and do all such things in the sea or in any estuary as may, in its opinion, be necessary to secure an adequate outfall for a main river. ”

(5) In subsection (4)—

(a) for the words “a drainage authority”, in both places where they occur, there shall be substituted the words “an internal drainage board” ; and

(b) for the word “area”, in each place where it occurs, there shall be substituted the word “district” .

(6) For subsection (7) there shall be substituted the following subsection—

“ (7) In this Act “ drainage authority ” means the National Rivers Authority or an internal drainage board. ”

Section 21 of the 1976 Act

6 (1) In subsection (1) of section 21 of the 1976 Act (arrangements between drainage authorities), the words from “and which” onwards shall be omitted.

(2) For subsections (2) and (3) of that section there shall be substituted the following subsections—

“ (2) Notwithstanding the provisions of section 17(2) above, the National Rivers Authority may, with the consent of an internal drainage board, execute and maintain in that board’s district any works which the board might execute or maintain, on such terms as to payment or otherwise as may be agreed between the board and the Authority, or may agree to contribute to the expense of the execution or maintenance of any works by any internal drainage board.

(3) An internal drainage board may, with the consent of an internal drainage board for any other district, execute and maintain in that other district any works which the first-mentioned board might execute or maintain within their own district, on such terms as to payment or otherwise as may be agreed between the boards, or may agree to contribute to the expense of the execution or maintenance of any works by the internal drainage board for any other district.

(4) Any expense incurred by an internal drainage board under subsection (3) above shall be defrayed as if the expense had been incurred in their own district. ”

Section 22 of the 1976 Act

7 In section 22 of the 1976 Act (arrangements with other persons generally), for the words “whether within or outside their area” there shall be substituted the words “(in the case of an internal drainage board, whether within or outside their district)” .

Section 23 of the 1976 Act

8 In section 23(2) of the 1976 Act (arrangements with certain authorities for the carrying out of works etc.), for the words “their area” there shall be substituted the words “any land (being, in the case of an internal drainage board, land situated in their district)” .

Section 24 of the 1976 Act

9 (1) In subsection (2) of section 24 of the 1976 Act (enforcement of obligations to repair watercourses, bridges etc.)—

(a) for the words “the drainage authority in whose area” there shall be substituted the words “the National Rivers Authority or any internal drainage board in whose district” ; and

(b) for the words “the authority” there shall be substituted the words “the Authority or board” .

(2) Subsection (4) of that section (watercourses in London) shall cease to have effect.

Section 26 of the 1976 Act

10 In section 26(11) of the 1976 Act (records to be kept of charges)—

(a) for the words “the clerk of the water authority or” there shall be substituted the words “an authorised officer of the National Rivers Authority or of the” ; and

(b) for the words “the said clerk” there shall be substituted the words “such an officer” .

Section 27 of the 1976 Act

11 In section 27(2) of the 1976 Act (power of Minister to make an order varying navigation rights), for the words “drainage authorities within whose areas” there shall be substituted the words “National Rivers Authority and every internal drainage board within whose district any of” .

Section 28 of the 1976 Act

12 (1) In subsection (1) of section 28 of the 1976 Act (obstructions in watercourses), for the words “the drainage authority” there shall be substituted the words “the National Rivers Authority or, in the case of works in the district of an internal drainage board, of that Authority or the board.”

(2) After subsection (1) of that section there shall be inserted the following subsection—

“ (1A) A drainage authority may require the payment of an application fee by a person who applies to them for their consent under this section; and the amount of that fee shall be £50 or such other sum as may be specified by order made jointly by the Minister of Agriculture, Fisheries and Food and the Secretary of State. ”

(3) In subsection (2), for the words “receipt of the application” there shall be substituted the words “relevant day” .

(4) After subsection (11), there shall be inserted the following subsection—

“ (11A) In this section “ relevant day ”, in relation to an application for a consent under this section, means whichever is the later of—

(a) the day on which the application is made; and

(b) if at the time when the application is made an application fee is required to be paid, the day on which the liability to pay that fee is discharged. ”

(5) Subsection (12) of that section (watercourses in London) shall cease to have effect.

Section 29 of the 1976 Act

13 (1) In section 29 of the 1976 Act (structures in, over or under watercourses), after subsection (2) there shall be inserted the following subsection—

“ (2A) The National Rivers Authority may require the payment of an application fee by a person who applies to it for its consent under this section; and the amount of that fee shall be £50 or such other sum as may be specified by order made jointly by the Minister of Agriculture, Fisheries and Food and the Secretary of State. ”

(2) In subsection (3) of that section, for paragraph (b) and the word “and” immediately preceding it there shall be substituted the following paragraphs—

“ (b) any such consent shall, if neither given nor refused within 2 months after the relevant day, be deemed to have been given; and

(c) any such approval shall, if neither given nor refused within 2 months after application for approval is made, be deemed to have been given. ”

(3) After subsection (8) there shall be inserted the following subsection—

“ (9) In this section “ relevant day ”, in relation to an application for a consent under this section, means whichever is the later of—

(a) the day on which the application is made; and

(b) if at the time when the application is made an application fee is required to be paid, the day on which the liability to pay that fee is discharged. ”

Section 32 of the 1976 Act

14 (1) For subsection (1) of section 32 of the 1976 Act (power of water authorities to provide flood warning systems) there shall be substituted the following subsection—

“ (1) Without prejudice to its powers by virtue of Chapter VI of Part III and Part IV of the Water Act 1989, the National Rivers Authority shall have power—

(a) to provide and operate flood warning systems;

(b) to provide, install and maintain apparatus required for the purposes of such systems;

(c) to carry out any other engineering or building operations so required. ”

(2) In subsection (4) of that section, for the words from the beginning to “authority’s area” there shall be substituted the words “The National Rivers Authority may exercise the powers conferred by subsection (1)(b) or (c) above in an area in Scotland as if its functions in relation to the areas of the regional flood defence committees whose areas are adjacent to Scotland were functions in relation to that area in Scotland and as if that area in Scotland were included in the areas of each of those committees, but” .

Section 34 of the 1976 Act

15 (1) For subsection (1) of section 34 of the 1976 Act (byelaws) there shall be substituted the following subsection—

“ (1) Subject to the provisions of this Act—

(a) the National Rivers Authority may make such byelaws in relation to any particular locality or localities as it considers necessary for securing the efficient working of any drainage system, including the proper defence of any land against sea or tidal water; and

(b) an internal drainage board may make such byelaws as they consider necessary for securing the efficient working of the drainage system in their district. ”

(2) In subsection (3) of that section, at the end there shall be inserted the words “by an internal drainage board; and Schedule 24 to the Water Act 1989 has effect with respect to the making of such byelaws by the National Rivers Authority” .

Section 36 of the 1976 Act

16 In section 36(1) of the 1976 Act (power of water authorities to acquire accretions of land resulting from drainage works), for the words from “the water authority” to “compulsorily” there shall be substituted the words “the powers of the National Rivers Authority by virtue of the Water Act 1989 to acquire land by agreement or compulsorily for the purpose of carrying out any of its functions shall include power so to acquire” .

Section 37 of the 1976 Act

17 In section 37(1) of the 1976 Act (power of internal drainage boards to acquire land), for the word “area” there shall be substituted the word “district” .

Section 45 of the 1976 Act

18 In section 45(3) of the 1976 Act (definitions for the purposes of revenue raising provisions), in the definition of “relevant expenditure”, for the words from “of the expenses” to the end of the definition there shall be substituted the words “and of the expenses of the Authority’s research and related activities” .

Section 46 of the 1976 Act

19 In section 46(6) of the 1976 Act (aggregate amount for which precepts in respect of a local land drainage district may be issued in a case where a water authority borrows or proposes to borrow money under the 1973 Act), for the words “the Water Act 1973” there shall be substituted the words “the Water Act 1989” .

Section 48 of the 1976 Act

20 In section 48(2) of the 1976 Act (raising of general drainage charges in respect of any local land drainage district), for the words “for the authority’s area” there shall be substituted the words “for the area in which that district is situated” .

Section 49 of the 1976 Act

21 In section 49(3) of the 1976 Act (application of order relating to amount of general drainage charge), for the words from “water authority areas”, where they first occur, to “and there specified” there shall be substituted the words “local flood defence districts specified in the order” .

Section 50 of the 1976 Act

22 (1) In subsection (1) of section 50 of the 1976 Act (special drainage charges in interests of agriculture), for the words “that area” there shall be substituted the words “the area of any regional flood defence committee” .

(2) For subsection (2) of that section there shall be substituted the following subsection—

“ (2) Any such scheme shall designate for the purposes of the special drainage charge so much of the area of the regional flood defence committee as consists of land which, in the opinion of the National Rivers Authority, is agricultural land that would benefit from drainage works in connection with the designated watercourses. ”

Section 51 of the 1976 Act

23 (1) In subsection (2) of section 51 of the 1976 Act (levying and amount of special drainage charge), for the words “authority’s regional land drainage committee” there shall be substituted the words “regional flood defence committee for the area which includes that land” .

(2) For subsection (4) of that section there shall be substituted the following subsection—

“ (4) An order under subsection (2)(b) above may be made so as to apply—

(a) to special drainage charges in general, or

(b) to the special drainage charges proposed to be raised in respect of such areas of regional flood defence committees as may be specified in the order, or

(c) to special drainage charges proposed to be raised in pursuance of one or more schemes made under section 50 above and so specified;

and any such order applying to the charges proposed to be raised in respect of more than one area of a regional flood defence committee or authorised by more than one such scheme may make different provision for the charges in respect of different areas or, as the case may be, the charges authorised by the different schemes. ”

Section 54 of the 1976 Act

24 (1) In subsection (3) of section 54 of the 1976 Act (arrangements for payment of drainage charges by owners), for the words from the beginning to “section” there shall be substituted the words “Where arrangements are made under this section it shall be the duty of the National Rivers Authority” .

(2) In subsection (6) of that section, for the words from the beginning to “above” there shall be substituted the words “Where notice is given to the National Rivers Authority under subsection (5) above it shall be the duty of that Authority” .

Section 59 of the 1976 Act

25 (1) In subsection (1) of section 59 of the 1976 Act (specified authorities in relation to agreements for assessment to and recovery of drainage charges), the word “ chargeable ” shall be omitted.

(2) In subsection (2) of that section, for the words from “wholly” onwards there shall be substituted the words “and the drainage board of any internal drainage district; and the land referred to in subsection (1) above is, in relation to any such council, the chargeable land within the area of the council and, in relation to any drainage board, such land as may be specified in the agreement.”

Section 62 of the 1976 Act

26 Section 62 of the 1976 Act (power to make water charges option orders) shall cease to have effect.

Section 64 of the 1976 Act

27 In section 64(1) of the 1976 Act (assessment of drainage charges on the basis of annual value), for the words “the area” there shall be substituted the words “their district” .

Section 68 of the 1976 Act

28 (1) In each of subsections (1) and (4) of section 68 of the 1976 Act (power to make orders relating to differential drainage rates), for the words “the district” there shall be substituted the words “their district” .

(2) In subsection (5) of that section, for the word “area” there shall be substituted the word “district” .

Section 88 of the 1976 Act

29 In section 88(1) of the 1976 Act (power of drainage authorities to levy navigation tolls)—

(a) for the words “within a drainage authority area” there shall be substituted the words “in England and Wales or in so much of the territorial sea adjacent to England and Wales as is included in the area of a regional flood defence committee” ; and

(b) for the words “the drainage authority for the area” there shall be substituted the words “the National Rivers Authority or, in the case of waters within the district of an internal drainage board, that Authority or that board” .

Section 89 of the 1976 Act

30 (1) In subsection (1) of section 89 of the 1976 Act (interpretation of Part IV), in the definition of “chargeable land”, for the words “the area” there shall be substituted the words “the area of a regional flood defence committee” .

(2) In subsection (2) of that section, for the words “a water authority area” there shall be substituted the words “the area of a regional flood defence committee” .

Section 90 of the 1976 Act

31 In paragraph (a) of section 90(6) of the 1976 Act (grants to water authorities for the acquisition of land and rights over land), for the words from “conferred” to the end of the paragraph there shall be substituted the words “of the National Rivers Authority by virtue of the Water Act 1989 to acquire land by agreement or compulsorily” .

Section 93 of the 1976 Act

32 In section 93(3) of the 1976 Act (notice of application for authority to execute drainage works to be given to persons including a drainage authority), for the words “any drainage authority having jurisdiction in any district or area” there shall be substituted the words “the National Rivers Authority and to the internal drainage board for any district” .

Section 94 of the 1976 Act

33 In section 94(3)(d) of the 1976 Act (compensation for loss attributable to a scheme under section 11 of the 1976 Act), for the words “such water authority as may be” there shall be substituted the words “the National Rivers Authority if it is” .

Section 100 of the 1976 Act

34 In section 100(1) of the 1976 Act (schemes for drainage of small areas), for the words “as it applies to a water authority” there shall be substituted the words “in relation to their area as it applies to the National Rivers Authority in relation to any such land as is mentioned in that section” .

Section 109 of the 1976 Act

35 (1) In subsection (2) of section 109 of the 1976 Act (regulations and orders), for the words “section 46” there shall be substituted the words “section 28(1A), 29(2A), 46” .

(2) In subsection (3) of that section, after “27,” there shall be inserted “28(1A), 29(2A),” .

Section 110 of the 1976 Act

36 In section 110(1)(c) of the 1976 Act (apportionment of expenses of local authorities), for the words “water authority area” there shall be substituted the word “county” .

Section 112 of the 1976 Act

37 In section 112(2) of the 1976 Act (protection of certain undertakings), for paragraph (b) there shall be substituted the following paragraph—

“ (b) the undertakings of the National Rivers Authority and of any water undertaker or sewerage undertaker; ” .

Section 116 of the 1976 Act

38 In section 116(1) of the 1976 Act (general interpretation)—

(a) for the definition of “constituent council” there shall be substituted the following definition—

“ “ constituent council ”, in relation to a regional flood defence committee, has the meaning provided by section 137(10) of the Water Act 1989 and, in relation to a local flood defence committee, has the meaning provided by section 5(8) above; ” ;

(b) for the definitions of “local land drainage committee”, “local land drainage district” and “local land drainage scheme” there shall be substituted the following definitions—

“ “ local flood defence committee ” has the meaning provided by section 139(1) of the Water Act 1989;

“ local flood defence district ” has the meaning (subject to section 89(2) above) provided by section 139(1) of the said Act of 1989;

“ local flood defence scheme ” has the meaning provided by section 139(1) of the said Act of 1989; ” .

Schedule 1 to the 1976 Act

39 (1) Schedule 1 to the 1976 Act (members and proceedings of regional and local land drainage committees) shall be amended as follows.

(2) In paragraph 5 (vacation of office upon the happening of certain events), for paragraph (a) of sub-paragraph (1) there shall be substituted the following paragraph—

“ (a) is adjudged bankrupt, is a person whose estate is sequestrated or makes a composition or arrangement with, or grants a trust deed for, his creditors; or ” .

(3) In paragraph 8 (disqualification for appointment as a member of a committee)—

(a) for paragraph (b) of sub-paragraph (1) there shall be substituted the following paragraph—

“ (b) is a person who has been adjudged bankrupt, or whose estate has been sequestrated or who has made a composition or arrangement with, or granted a trust deed for, his creditors; or ” ;

(b) after sub-paragraph (2) there shall be inserted the following sub-paragraph—

“ (2A) Where a person is disqualified under sub-paragraph (1) above by reason of having had his estate sequestrated, the disqualification shall cease—

(a) unless the sequestration is recalled or reduced, on the person’s discharge under section 54 of the Bankruptcy (Scotland) Act 1985; and

(b) if the sequestration is recalled or reduced, on the date of the recall or reduction. ”

(c) in sub-paragraph (3), after the words “arrangement with” there shall be inserted the words “or having granted a trust deed for” and after the word “arrangement”, in the second place where it occurs, there shall be inserted the words “or of the trust deed” .

(4) In paragraph 10 (payments to members of committees of amounts determined by the appropriate Minister)—

(a) in sub-paragraph (1), for the words from “not being” to “committees” there shall be substituted the words “is a chairman of a regional flood defence committee or of a local flood defence committee” ;

(b) in sub-paragraph (2), for the words “the regional” there shall be substituted the words “a regional” ;

(c) in sub-paragraph (3), for the words from “not being” to “committees” there shall be substituted the words “is a member of a regional flood defence committee or of a local flood defence committee” ; and

(d) in sub-paragraph (4), for the definition of “the appropriate Minister” there shall be substituted the following definition—

“ “ the appropriate Minister ” means—

(a) in relation to the regional flood defence committee for an area the whole or the greater part of which is in Wales and in relation to any local flood defence committee for any district comprised in the area of such a regional flood defence committee, the Secretary of State; and

(b) in relation to any other regional flood defence committee or local flood defence committee, the Minister; ” .

(5) For paragraph 14 (proceedings) there shall be substituted the following paragraph—

“ 14 A regional flood defence committee or a local flood defence committee may, with the approval of the appropriate Minister (within the meaning of paragraph 10 above), make rules for regulating the proceedings of the committee; and nothing in section 136 of the Water Act 1989 shall entitle the National Rivers Authority to make any arrangements or give any directions for regulating the proceedings of any such committee. ”

(6) In paragraph 15 (disqualification for paid office of water authority), for the words from “water authority’s” onwards there shall be substituted the words “regional flood defence committee or a local flood defence committee, be disqualified from being appointed to any paid office by the National Rivers Authority or by any regional flood defence committee other than the office of chairman of a local flood defence committee.”

(7) For paragraph 16 (interpretation) there shall be substituted the following paragraph—

“ 16 In this Schedule—

(a) any reference to a member of a committee shall include a reference to the chairman of that committee; and

(b) any reference to an officer of a regional or local flood defence committee shall be construed as a reference to an officer of the National Rivers Authority. ”

Schedule 2 to the 1976 Act

40 (1) In paragraph (b) of the proviso to paragraph 3 of Schedule 2 to the 1976 Act (termination of office of members of a board), for the words “becomes bankrupt or makes a composition or arrangement with” there shall be substituted the words “is adjudged bankrupt, or his estate is sequestrated, or he makes a composition or arrangement with, or grants a trust deed for,” .

(2) In paragraph 6 of that Schedule (disqualification), after the word “with” there shall be inserted the words “or granted a trust deed for” .

Schedule 4 to the 1976 Act

41 In Schedule 4 to the 1976 Act (byelaws made by drainage authorities)—

(a) in paragraphs 1 and 11, for the words “a drainage authority” there shall be substituted the words “an internal drainage board” ; and

(b) in paragraphs 2 to 6, 8 to 10 and 11(a), for the word “authority”, in each place where it occurs, there shall be substituted the words “internal drainage board” .

SCHEDULE 16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 141.

SCHEDULE 17 Transfer of Fisheries Functions to the Authority

General modifications of references to water authorities

1 (1) Subject to the following provisions of this Schedule and to any repeal made by this Act, any provision to which this paragraph applies which contains, or falls to be construed as containing, a reference (however framed and whether or not in relation to an area) to any one or more water authorities, or to a particular water authority, shall have effect on and after the transfer date as if that reference were a reference to the Authority.

(2) Subject as aforesaid, any provision to which this paragraph applies which contains, or falls to be construed as containing, a reference (however framed) to the area of a water authority shall have effect on and after the transfer date as if that reference were a reference—

(a) in the case where the provision is contained in a local statutory provision or in subordinate legislation and the reference is in relation to a particular water authority, to the area which, immediately before the transfer date, was the area of that authority for the purposes of their functions relating to fisheries; and

(b) in any other case, to the whole area in relation to which the Authority carries out its functions relating to fisheries.

(3) Subject as aforesaid, any function of a Minister of the Crown under any provision to which this paragraph applies or under the Diseases of Fish Act 1937 shall, in so far as immediately before the transfer date it is exercisable by different Ministers according to the water authority or water authority area in relation to which it is exercised, be exercisable on and after that date concurrently by the Minister of Agriculture, Fisheries and Food and by the Secretary of State; and references in any enactment (including a reference inserted by this Act) to a Minister, so far as they have effect for the purposes of, or in connection with, the exercise of any function under a provision to which this paragraph applies or the said Act of 1937, shall have effect accordingly.

(4) The provisions to which this paragraph applies are the provisions of—

(a) the Sea Fisheries Regulation Act 1966;

(b) the Salmon and Freshwater Fisheries Act 1975; and

(c) any local statutory provision or subordinate legislation which is in force immediately before the transfer date and—

(i) relates to the carrying out by a water authority of any function relating to fisheries; or

(ii) in the case of subordinate legislation, was made by virtue of any provision to which this paragraph applies or under the Diseases of Fish Act 1937.

(5) The modifications made by this paragraph shall be subject to any power by subordinate legislation to revoke or amend any provision to which this paragraph applies; and, accordingly, any such power, including the powers conferred by section 191 of this Act and paragraph 2 below, shall be exercisable so as to exclude the operation of this paragraph in relation to the provisions in relation to which the power is conferred.

Power to amend subordinate legislation etc

2 (1) If it appears to the Minister or the Secretary of State to be appropriate to do so for the purposes of, or in consequence of, the coming into force of any provision of this Schedule, he may by order revoke or amend any subordinate legislation.

(2) An order under this paragraph may—

(a) make different provision for different cases, including different provision in relation to different persons, circumstances or localities; and

(b) contain such supplemental, consequential and transitional provision as the Minister or the Secretary of State considers appropriate.

(3) The power conferred by virtue of this paragraph in relation to subordinate legislation made under any enactment shall be without prejudice to any other power to revoke or amend subordinate legislation made under that enactment, but—

(a) no requirement imposed with respect to the exercise of any such other power shall apply in relation to any revocation or amendment of that legislation by an order under this paragraph; and

(b) the power to make an order under this paragraph shall be exercisable (instead of in accordance with any such requirement) by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament.

The Diseases of Fish Act 1937 (c. 33)

3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Sea Fisheries Regulation Act 1966 (c. 38)

5 (1) The provisions of section 1 of the Sea Fisheries Regulation Act 1966 (establishment of fisheries committees) which provide that an order under that section modifying a previous such order is to be made only on such an application and after such consultation as is mentioned in that section shall not apply to an order under that section which contains a statement that the only provision made by the order is provision which appears to the Minister making the order to be appropriate in consequence of any of the provisions of this Act.

(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3) In section 18(3) of that Act (provision where a water authority or harbour authority have the powers of a local fisheries committee), for the words from “section 36(3)” to “authority)” there shall be substituted the words “section 186 of the Water Act 1989 (procedure relating to byelaws made by the National Rivers Authority)” .

The Sea Fish (Conservation) Act 1967 (c. 84)

6 In section 18(1) of the Sea Fish (Conservation) Act 1967 (enforcement of orders relating to salmon and migratory trout)—

(a) for the words from “for the purposes” to the beginning of paragraph (a) there shall be substituted the words “are included in the area which by virtue of subsection (4) of section 141 of the Water Act 1989 is the area in relation to which the National Rivers Authority carries out functions relating to fisheries under the Salmon and Freshwater Fisheries Act 1975 or on landing salmon or migratory trout” ; and

(b) for paragraph (b) there shall be substituted the following paragraph—

“ (b) the provisions of section 147 and, in relation to that section, sections 178 and 179 of the Water Act 1989 (which confer powers of entry) shall apply as if section 4 of this Act, and any order under section 5 or 6 of this Act, were an enactment to which the said section 147 applies. ”

The Salmon and Freshwater Fisheries Act 1975 (c. 51)

7 (1) The Salmon and Freshwater Fisheries Act 1975 shall be amended as follows.

(2) In section 5(5), for paragraph (c) (exemption from section 31(1)(a) of the Control of Pollution Act 1974) there shall be substituted the following paragraph—

“(c) section 107(1)(a) of the Water Act 1989;”.

(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(5) In section 25(2) (licences to fish), for the words “of a description, in an area and for a period” there shall be substituted the words “of such a description, in such area or areas and for such period as is” .

(6) In section 26(1) (limitation of fishing licences)—

(a) after the word “may”, in the first place where it occurs, there shall be inserted the words “in relation to any such area or areas as are specified in the order,” ; and

(b) in paragraph (a), for the words “any part of their area” there shall be substituted the words “that area or those areas” .

(7) In section 28 (general powers and duties of water authorities and Minister)—

(a) in subsection (3), for the words from “by”, in the first place where it occurs, onwards there shall be substituted the words “ on an application made to him by the National Rivers Authority, by order made by statutory instrument make provision in relation to an area defined by the order—

(a) for the imposition on the owners and occupiers of fisheries in that area of requirements to pay contributions to that Authority of such amounts as may be determined under the order in respect of the expenses of the carrying out in relation to that area of that Authority’s functions with respect to fisheries;

(b) for such contributions to be paid or recovered in such manner and to be refundable in such circumstances as may be specified in or determined under the order;

(c) for the modification, in relation to the fisheries in that area, of any provisions of this Act relating to the regulation of fisheries or of any provisions of a local Act relating to any fishery in that area;

and an order under this subsection may contain such supplemental, consequential and transitional provision, including provision for the payment of compensation to persons injuriously affected by the order, as may appear to be necessary or expedient in connection with the other provisions of the order. ” ; and

(b) in subsection (8), for the words “Section 36(3) of the Water Act 1973 and Schedule 7” there shall be substituted the words “Section 186 of the Water Act 1989 and Schedule 24” .

(8) In section 32(1) (power of water bailiffs and other persons to enter lands), for the words “waters within a water authority area” there shall be substituted the words “any waters” .

(9) In section 35 (power to require production of fishing licences)—

(a) in subsection (1), for the words “in a water authority area” there shall be substituted the words “in any area” ;

(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(c) in subsection (3), for the words “the office of the water authority” there shall be substituted the words “the appropriate office of the National Rivers Authority” ; and

(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(10) In section 39(5) (no power to bring criminal proceedings in Scotland), after the words “this section” there shall be inserted the words “or the Water Act 1989” .

(11) In section 41(1) (interpretation), in the definition of “authorised officer”, the words “ acting within the water authority area ” shall be omitted.

(12) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(13) In Schedule 2 (duty on licences)—

(a) in paragraph 3 (notice of intention to increase duties), at the end of the paragraph there shall be inserted the words “and such a notice shall set out the amount of any duty as proposed to be fixed or altered.”;

(b) for paragraph 6 (fixing or alteration to take effect from the beginning of the following year) there shall be substituted the following paragraph—

“ 6 Where the fixing or alteration of any duty takes effect under this Schedule at any time, no alteration or, as the case may be, further alteration of that duty shall so take effect within the period of twelve months beginning with that time. ”

(14) In Schedule 3 (administration)—

(a) for paragraph 7 there shall be substituted the following paragraph—

“ 7 Before he makes an order the Minister shall—

(a) send to the National Rivers Authority a copy of the draft order; and

(b) notify the Authority of the time within which, and the manner in which, objections to the draft order may be made to him;

and the Minister shall not make an order unless the Authority has caused notice of the Minister’s intention to make the order, of the place where copies of the draft order may be inspected and obtained and of the matters notified under sub-paragraph (b) above to be published in the London Gazette and, if it is directed to do so by the Minister, in such other manner as the Minister thinks best adapted for informing persons affected. ”

(b) for paragraphs 9 to 11 (orders subject to special parliamentary procedure, etc. ) there shall be substituted the following paragraph—

“ 9 A statutory instrument containing an order shall be subject to annulment in pursuance to a resolution of either House of Parliament; and, where a statutory instrument is laid before Parliament for the purposes of this paragraph, a copy of the report of any local inquiry held with respect to objections considered in connection with the making of the order contained in that instrument shall be so laid at the same time. ” ;

(c) in paragraph 21A (byelaws with respect to fixed engines), after the word “not” there shall be inserted the words “without the consent of the local fisheries committee in question” ;

(d) for paragraph 32 (returns to be made by persons fishing), there shall be substituted the following paragraph—

“ 32 Requiring persons to send to the National Rivers Authority returns, in such form, giving such particulars and at such times as may be specified in the byelaws, of the period or periods during which they have fished for salmon, trout, freshwater fish or eels, of whether they have taken any and, if they have, of what they have taken. ” ;

(e) in paragraph 37 (power of water authority to acquire certain interests etc. ), for the words from “paragraph 2” to “water authority” there shall be substituted the words “section 145 of the Water Act 1989, the powers conferred on the National Rivers Authority by that section, by section 151 of that Act and by section 155 of that Act include power” ;

(f) in paragraph 38 (powers of water authorities), for the words “paragraph 2” there shall be substituted the words “section 145” ; and

(g) in paragraph 39 (powers of water authorities)—

(i) in sub-paragraph (1), in the words before paragraph (a), for the words “paragraph 2” there shall be substituted the words “section 145” ; and

(ii) in paragraph (a) of that sub-paragraph, for the words “the fisheries in their area” there shall be substituted the words “any fisheries” .

(15) In paragraph 9 of Part II of Schedule 4 (disqualification of offenders)—

(a) the words “ and is subsequently convicted of any such offence ” shall be omitted;

(b) for the words “or for fishing in a water authority area” there shall be substituted the words “for having his name entered on a licence in pursuance of paragraphs 9 to 14 of Schedule 2 to this Act or for fishing (either in a particular area or generally)” ; and

(c) for the words “one year” there shall be substituted the words “five years” .

(16) Section 181 of this Act shall apply in relation to any local inquiry under the said Act of 1975 as it applies in relation to local inquiries under this Act.

The Diseases of Fish Act 1983 (c. 30)

8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Salmon Act 1986 (c. 62)

9 (1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(2) In section 39(3) of that Act (areas in respect of which a review of certain salmon net fishing is to be made), the reference to the areas of the Yorkshire and Northumbrian water authorities shall be construed on and after the transfer date as a reference to the areas which, immediately before that date, were the areas of those authorities for the purposes of their functions relating to fisheries.

SCHEDULES 18—21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 168.

SCHEDULE 22 Water Quality in Scotland

1 In the Water (Scotland) Act 1980, after section 76, there shall be inserted the following Part—

“ Part VI A Quality of Water

76A Duties of water authorities with respect to water quality.

(1) It shall be the duty of a water authority—

(a) when supplying water to any premises for domestic purposes to supply only water which is wholesome at the time of supply; and

(b) so far as reasonably practicable, to ensure, in relation to each source or combination of sources from which that authority supplies water to premises for domestic purposes, that there is, in general, no deterioration in the quality of the water which is supplied from time to time from that source or combination of sources.

(2) For the purposes of this section and section 76B below and subject to subsection (3) below, water supplied by a water authority to any premises shall not be regarded as unwholesome at the time of supply where it has ceased to be wholesome only after leaving the authority’s pipes.

(3) For the purposes of this section where water supplied by a water authority to any premises would not otherwise be regarded as unwholesome at the time of supply, that water shall be regarded as unwholesome at that time if—

(a) it has ceased to be wholesome after leaving the authority’s pipes but while in a pipe which is subject to water pressure from a main or which would be so subject but for the closing of some valve; and

(b) it has so ceased in consequence of the failure of the authority, before supplying the water, to take such steps as may be prescribed for the purpose of securing the elimination or reduction to a minimum of any prescribed risk that the water would cease to be wholesome after leaving the authority’s pipes.

(4) The provisions of this section shall apply in relation to water which is supplied by a water authority whether or not the water is water which the authority is required to supply by virtue of any provision of this Act.

76B Regulations for preserving water quality.

(1) The Secretary of State may by regulations require a water authority to take all such steps as may be prescribed for the purpose of securing compliance with section 76A above; and, without prejudice to the generality of that power, regulations under this subsection may impose an obligation on a water authority—

(a) to take all such steps as may be prescribed for monitoring and recording whether the water which that authority supplies to premises for domestic purposes is wholesome at the time of supply;

(b) to take all such steps as may be prescribed for monitoring and recording the quality of the water from any source, or combination of sources, which that authority uses or is proposing to use for supplying water to any premises for domestic purposes;

(c) to ensure that a source which that authority is using or proposing to use for supplying water for domestic purposes is not so used until prescribed requirements for establishing the quality of water which may be supplied from that source have been complied with;

(d) to keep records of the localities within which all the premises supplied with water for domestic purposes by that authority are normally supplied from the same source or combination of sources;

(e) to comply with prescribed requirements with respect to the analysis of water samples or with respect to internal reporting or organisational arrangements.

(2) Without prejudice to subsection (1) above, the Secretary of State may by regulations make provision with respect to the use by water authorities, for the purposes of or in connection with the carrying out of their functions, of such processes and substances, and of products that contain or are made with such substances or materials, as he considers might affect the quality of any water; and, without prejudice to the generality of that power, regulations under this subsection may—

(a) forbid the use by water authorities of processes, substances and products which have not been approved under the regulations or which contravene the regulations;

(b) for the purposes of provision made by virtue of paragraph (a) above, require processes, substances and products used by water authorities to conform to such standards as may be prescribed by or approved under the regulations;

(c) impose such other requirements as may be prescribed with respect to the use by water authorities of prescribed processes, substances and products;

(d) provide for the giving, refusal and revocation, by prescribed persons, of approvals required for the purposes of the regulations, for such approvals to be capable of being made subject to such conditions as may be prescribed and for the modification and revocation of any such condition;

(e) impose obligations to furnish prescribed persons with information reasonably required by those persons for the purpose of carrying out functions under the regulations;

(f) provide for a contravention of the regulations to constitute—

(i) an offence punishable on summary conviction by a fine not exceeding level 5 on the standard scale or such smaller sum as may be prescribed; or

(ii) an offence triable either summarily or on indictment and punishable, on summary conviction, by a fine not exceeding the statutory maximum and, on conviction on indictment, by a fine; and

(g) require prescribed charges to be paid to persons carrying out functions under the regulations.

(3) The Secretary of State may by regulations require a water authority—

(a) to publish information about the quality of water supplied for domestic purposes to any premises by that authority; and

(b) to provide information to prescribed persons about the quality of water so supplied.

(4) Regulations under subsection (3) above—

(a) shall prescribe both the information which is to be published or provided in pursuance of the regulations and the manner and circumstances in which it is to be published or provided;

(b) may require the provision of information by a water authority to any person to be free of charge or may authorise it to be subject to the payment by that person to the authority of a prescribed charge; and

(c) may impose such other conditions on the provision of information by a water authority to any person as may be prescribed.

76C Offence of supplying water unfit for human consumption.

(1) Subject to subsection (4) below, where a water authority supplies water by means of pipes to any premises and that water is unfit for human consumption the authority shall be guilty of an offence and liable—

(a) on summary conviction, to a fine not exceeding the statutory maximum;

(b) on conviction on indictment, to a fine.

(2) Where an offence under this section is proved to be attributable to any neglect on the part of an employee of the water authority, he as well as the water authority shall be guilty of that offence and shall be liable to be proceeded against and punished accordingly.

(3) For the purposes of subsection (2) above, the penalty on conviction on indictment shall include imprisonment (in addition to or instead of a fine) for a term not exceeding two years.

(4) In any proceedings for an offence under this section it shall be a defence to show that—

(a) there were no reasonable grounds for suspecting that the water would be used for human consumption; or

(b) all reasonable steps had been taken and all due diligence exercised for securing that the water was fit for human consumption on leaving the pipes or was not used for human consumption.

76D Provision of water where piped supplies insufficient or unwholesome.

(1) Where—

(a) it is not practicable at reasonable cost for a water authority, by supplying water in pipes, to provide or maintain such a supply of wholesome water to any particular premises in its limits of supply as (so far as those premises are concerned) is sufficient for domestic purposes;

(b) it is practicable at reasonable cost for the authority to provide such a supply to those premises otherwise than in pipes;

(c) the insufficiency or unwholesomeness of the supply of water for domestic purposes to those premises is such as to cause a danger to life or health; and

(d) the local authority in whose area those premises are situated notify the water authority of that danger and require the water authority to provide a supply otherwise than in pipes,

it shall be the duty of the water authority, for such period as may be required by that local authority, to provide any supply to those premises which it is practicable at reasonable cost to provide otherwise than in pipes and which it is required to provide by that local authority.

(2) Where under subsection (1) above a local authority require the provision by a water authority of a supply of water to any premises, that local authority—

(a) shall be liable to the water authority for any charges payable in respect of the provision of that supply; but

(b) shall have power to recover the whole or any part of any charges paid by virtue of this subsection from the owner or occupier of the premises to which the supply is provided.

(3) In this section references to the provision of a supply of water to any premises otherwise than in pipes shall have effect, in a case in which it is practicable at reasonable cost to provide a supply (whether or not in pipes) to a place within a reasonable distance of those premises, as including references to the provision of a supply to that place.

76E Enforcement of sections 76A to 76D.

(1) This section applies to enforcement of the duties of water authorities under sections 76A and 76D(1) and under regulations made under section 76B.

(2) Without prejudice to its generality, section 11 above (power of Secretary of State to make a default order) shall have effect, subject to the following provisions of this section, for the enforcement by the Secretary of State of the duties referred to in subsection (1) above.

(3) The Secretary of State may make an order under subsection (2) of section 11 without having caused a local inquiry to be held into the matter.

(4) If he is satisfied that a water authority has failed in any of the duties referred to in subsection (1) above, the Secretary of State shall make an order under subsection (2) of section 11 unless he is satisfied—

(a) that the failures complained of were of a trivial nature; or

(b) that the water authority have given, and are complying with, an undertaking to take all such steps as it appears to the Secretary of State to be appropriate, for the time being, for them to take for the purpose of securing or facilitating compliance with these duties.

76F General functions of local authorities in relation to water quality.

(1) It shall be the duty of every local authority to take all such steps as they consider appropriate for keeping themselves informed about the wholesomeness and sufficiency of water supplies provided to premises in their area, including every private supply to any such premises.

(2) It shall be the duty of a local authority to notify any water authority of anything appearing to the local authority to suggest—

(a) that any supply by that water authority of water for domestic purposes to any premises in the area of that local authority is, has been, or is likely to become unwholesome or (so far as any such premises are concerned) insufficient for those purposes;

(b) that the unwholesomeness or insufficency of any such supply is, was or is likely to be such as to cause a danger to life or health; or

(c) that the duty imposed on that water authority by virtue of section 76A(1)(b) above is being, has been or is likely to be so contravened as to affect any supply of water to premises in that area;

and it shall be the duty of a local authority to require the provision of a supply in pursuance of section 76D above whenever, in a case falling within paragraph (a) of subsection (1) of that section, they are satisfied, in relation to any premises in their area, as to the matters specified in paragraphs (b) and (c) of that subsection.

(3) Where a local authority have notified a water authority of any such matter as is mentioned in subsection (2) above, it shall be the duty of that local authority, if they are not satisfied that all such remedial action as is appropriate will be taken by the water authority, to inform the Secretary of State about the contents of the notification.

(4) It shall be the duty of a local authority to comply with any direction given by the Secretary of State to that local authority or to local authorities generally as to—

(a) the cases and circumstances in which they are or are not to exercise any of the powers conferred on them by this Part in relation to private supplies; and

(b) the manner in which those powers are to be exercised.

(5) The Secretary of State may by regulations make such provision, supplementing the provisions of this section, as he considers appropriate for—

(a) imposing duties and conferring powers on local authorities with respect to the acquisition of information about the quality and sufficiency of water supplies provided to premises in their areas; and

(b) regulating the performance of any duty imposed by or under this section.

(6) Without prejudice to the generality of subsection (5) above, regulations under that subsection may—

(a) prescribe the matters to be taken into account by a local authority in determining, for the purposes of subsection (1) above, what is appropriate;

(b) provide, for the purposes of the exercise or performance of any power or duty conferred or imposed on a local authority by or under this section, for such samples of water to be taken and analysed at such times and in such manner as may be prescribed;

(c) authorise local authorities to exercise or perform any such power or duty through prescribed persons;

(d) provide for the recovery by a local authority, from prescribed persons, of such amounts as may be prescribed in respect of expenses reasonably incurred by the authority in the exercise of any such power or the performance of any such duty.

76G Remedial powers of local authorities in relation to private supplies.

(1) Subject to the following provisions of this section, where a local authority are satisfied in relation to any premises in their area which are supplied with water for domestic purposes by means of a private supply—

(a) that any water which is being, has been or is likely to be supplied for those purposes to those premises by means of that private supply is not, was not or, as the case may be, is likely not to be wholesome; or

(b) that that private supply is failing, has failed or is likely to fail to provide to any house on those premises such a supply of wholesome water as (so far as that house is concerned) is sufficient for domestic purposes,

the local authority may serve a notice in relation to that private supply on one or more of the relevant persons.

(2) A notice under this section in relation to a private supply of water to any premises shall—

(a) give particulars of the matters mentioned in subsection (1) above in respect of which the notice is served;

(b) specify the steps which, in the opinion of the local authority serving the notice, are required to be taken for ensuring that there is a supply of water to those premises which is both wholesome and (so far as any house on those premises is concerned) sufficient for domestic purposes;

(c) specify a period ending not less than 28 days after the day on which the notice is served within which any representations or objections with respect to the notice must be received by that local authority; and

(d) state the effect in relation to that notice of section 76H(2) and (3) below.

(3) Subject to section 76H below, where a local authority serve a notice under this section on any relevant person they may do one or more of the following, that is to say—

(a) by that notice designate as steps to be taken by the authority themselves such of the steps specified in the notice as they consider it appropriate to so designate;

(b) by that notice require that person, within such reasonable period as may be specified in the notice, to take one or more of the steps so specified;

(c) by that notice require that person, at such times as may be determined in accordance with provision contained in the notice, to make to another relevant person or to that authority such payments as may be so determined in respect of expenses reasonably incurred by that other person or that authority in taking any step specified in the notice;

(d) by that notice undertake from time to time to make such payments to that person as may be so determined in respect of expenses reasonably incurred by that person in taking any step specified in the notice.

(4) The power of a local authority to serve a notice under this section specifying the steps which are required to be taken in relation to any source from which a private supply is provided both to premises in the area of that authority and to premises in the area of another local authority shall be exercisable only where—

(a) the other authority consent to the service of the notice; or

(b) the authorities act jointly in exercising their respective powers under this section in relation to that source.

(5) The powers conferred by this section and section 76H below shall be so exercised in relation to a private supply of water to any premises where there is no house as to secure that no local authority are required to bear any of the expenses incurred (whether by the authority or by any other person) in taking any steps for ensuring that the supply is wholesome which are specified in any notice under this section.

(6) The steps that a relevant person may be required by a notice under this section to take in relation to any premises shall include—

(a) requiring a supply of water to be provided to those premises by a water authority or by any other person; and

(b) taking such steps for the purpose of securing that such a requirement is complied with, and of enabling such a supply to be so provided, as may be specified in the notice.

(7) For the purposes of this section and section 76H below the relevant persons, in relation to a private supply of water to any premises in the area of a local authority, are the owners and occupiers of those premises and (whether or not the source of the private supply is in that authority’s area) the owners and occupiers of the premises where that source is situated and any other person who exercises powers of management or control in relation to that source.

76H Effect, confirmation and variation of notice under section 76G.

(1) Subject to subsection (2) below, a notice served by a local authority under section 76G above shall not take effect until the end of the period specified in the notice as the period within which representations or objections with respect to the notice must be received by that authority.

(2) Where any written representation or objection with respect to a notice by a local authority under section 76G above is received by the authority, before the end of the period specified in the notice, from a person on whom the notice was served, that notice shall not take effect unless—

(a) the notice is submitted by the authority to the Secretary of State and is confirmed by him either with or without modifications; or

(b) the representation or objection is withdrawn.

(3) If a local authority submit a notice under section 76G above to the Secretary of State for confirmation, the Secretary of State—

(a) shall consider whether the notice should be confirmed and whether, if it is confirmed, it should be confirmed with or without modifications;

(b) may, with respect to the matters specified in the notice or any proposed modification of it, direct the local authority to serve a notice under section 76G above, in such terms as may be specified in the direction, on any relevant person who has not previously been so served;

(c) may, for the purposes of paragraph (a) or (b) above—

(i) cause a local inquiry to be held; or

(ii) afford to the local authority and to every person who has made representations or objections with respect to the notice or a proposed direction under paragraph (b) above an opportunity of appearing before, and being heard by, a person appointed by the Secretary of State for the purpose;

and

(d) may, if he is satisfied that the person on whom any notice to be served in pursuance of a direction under paragraph (b) above has had a proper opportunity of having his representations or objections with respect to the proposal for the direction considered, dispense in relation to the notice so served with the provisions of subsections (1) and (2) above and of section 76G(2)(c) and (d) above.

(4) Where the Secretary of State confirms a notice under section 76G above (whether with or without modifications)—

(a) he, or if he so directs, the local authority concerned shall serve notice of that confirmation on every person originally served with the notice under that section; and

(b) that notice shall take effect, with any modifications made by the Secretary of State, at such time as may be specified in the notice served under this subsection.

(5) Where any relevant person who is required by virtue of a notice under section 76G above to take any step in relation to any premises fails to take that step within the period specified in the notice, the authority which served the notice may, in accordance with any applicable provision having effect by virtue of section 76I below, take that step themselves.

(6) Where any step is taken by a local authority in relation to any premises by virtue of subsection (5) above—

(a) the authority may recover from the person who failed to take that step within the specified period any expenses reasonably incurred by the authority in taking that step; and

(b) for the purposes of any requirement under which payments are required to be made to that person by any person other than the authority, sums paid by virtue of paragraph (a) above in respect of the taking of any step shall be deemed to be expenses incurred in the taking of that step by the person who failed to take it.

(7) Nothing in this Act shall confer any right of action on any person in respect of any loss or damage sustained by that person in consequence of the failure by any other person to take any step specified in a notice under section 76G above; but any sum required to be paid to any person by virtue of any requirement or undertaking contained in such a notice shall be recoverable by that person from the person who is required to pay it.

(8) Any requirement which is imposed by virtue of a notice under section 76G above on the owner or occupier of any premises and is expressed to bind those premises in relation to the owners or occupiers from time to time shall bind successive owners or, as the case may be, occupiers of those premises; and section 65 above (power of local authority to make a charging order in respect of costs) shall apply to a requirement under section 76G above as if that requirement were a requirement under section 64 above.

(9) Subject to subsection (10) below, a local authority may by notice served on any person modify or revoke the effect in relation to that person of any notice under section 76G above or this subsection (including a notice which has been confirmed, with or without modifications, by the Secretary of State).

(10) Section 76G(2)(c) and (d) and subsections (1) to (4) above shall apply, as they apply in relation to a notice under section 76G above, in relation to any notice served by a local authority on any person under subsection (9) above except where the notice—

(a) extends the period within which any step is required to be taken by that person; or

(b) discharges, postpones or abates any obligation of that person to make a payment to the local authority.

76I Incidental powers of local authorities.

(1) Subject to subsection (5) below, a local authority may serve on any person a notice requiring him to furnish that authority, within a period or at times specified in the notice and in a form and manner so specified, with such information as is reasonably required by that authority for the purpose of exercising or performing any power or duty conferred or imposed on that authority by or under any of sections 76F to 76H above.

(2) Any person designated in writing for the purpose by any local authority may—

(a) enter any premises for the purpose, in relation to any private supply, of—

(i) determining whether, and if so in what manner, any power or duty conferred or imposed on that authority by or under any of sections 76F to 76H above should be exercised or performed; or

(ii) exercising any such power or performing any such duty;

(b) enter any premises to which a supply of water is provided by a water authority for the purpose, in relation to a supply so provided, of determining whether, and if so in what manner, such a power should be exercised or such a duty performed or of exercising such a power or performing such a duty; or

(c) carry out such inspections, measurements and tests on premises entered by that person or of articles found on any such premises, and take away such samples of water or of any land or articles, as the local authority—

(i) consider appropriate for the purposes of any such power or duty; and

(ii) have authorised that person to carry out or take away,

and the provisions of subsections (3) to (7) of section 38 shall apply to the right of entry given by this subsection to any person designated by a local authority as they apply to the right of entry of an authorised officer of a water authority.

(3) Entry into any premises shall not be demanded as of right by virtue of this section except—

(a) in an emergency, or

(b) at a reasonable time and after 24 hours’ notice of the intended entry has been given to the occupier of the premises.

(4) The Secretary of State may by regulations make provision for restricting the information which may be required under subsection (1) above and for determining the form in which the information is to be so required.

(5) A person who fails to comply with the requirements of a notice served on him under subsection (1) above shall be guilty of an offence and liable on summary conviction to a fine not exceeding level 5 on the standard scale; and it shall be a defence for a person charged with an offence under this subsection to show that he had a reasonable excuse.

76J Standards of wholesomeness.

(1) The Secretary of State may by regulations make provision that water that is supplied to any premises is or is not to be regarded as wholesome for the purposes of this Part if it satisfies or, as the case may be, fails to satisfy such requirements as may be prescribed.

(2) Without prejudice to the generality of subsection (1) above, regulations under this section may, for the purpose of determining the wholesomeness of any water—

(a) prescribe general requirements as to the purposes for which the water is to be suitable;

(b) prescribe specific requirements as to the substances that are to be present in or absent from the water and as to the concentrations of substances which are or are required to be present in the water;

(c) prescribe specific requirements as to other characteristics of the water;

(d) provide that the question whether prescribed requirements are satisfied may be determined by reference to such samples as may be prescribed;

(e) enable the Secretary of State to authorise such relaxations of and departures from the prescribed requirements (or from any of them) as may be prescribed, to make any such authorisation subject to such conditions as may be prescribed and to modify or revoke any such authorisation or condition; and

(f) enable the Secretary of State to authorise a local authority (either instead of the Secretary of State or concurrently with him) to exercise in relation to a private supply any power conferred on the Secretary of State by regulations made by virtue of paragraph (e) above.

76K Power to give effect to international obligations.

The Secretary of State may by regulations provide that the provisions of this Part shall have effect with such modifications as may be prescribed for the purpose of enabling Her Majesty’s Government in the United Kingdom to give effect to—

(a) any EU obligations; or

(b) any international agreement to which the United Kingdom is for the time being a party.

76L Interpretation etc. of Part VI A.

(1) In this Part—

• “ analyse ”, in relation to any sample of land or water, includes subjecting the sample to a test of any description, and cognate expressions shall be construed accordingly;

• “ local authority ” means an islands or district council;

• “ micro-organism ” includes any microscopic biological entity which is capable of replication;

• “ private supply ” means, subject to subsection (2) below, a supply of water provided otherwise than by a water authority (including a supply provided for the purposes of the bottling of water) and cognate expressions shall be construed accordingly;

• “ substance ” includes micro-organisms and any natural or artificial substance or other matter, whether it is in solid or liquid form or in the form of a gas or vapour;

• “ wholesome ” and cognate expressions shall be construed subject to the provisions of any regulations made under section 76J.

(2) For the purposes of any reference in this Part to a private supply, or to supplying water by means of a private supply, water shall be treated as supplied to any premises not only where it is supplied from outside those premises, but also where it is abstracted, for the purpose of being used or consumed on those premises, from a source which is situated on the premises themselves; and for the purposes of this subsection water shall be treated as used on any premises where it is bottled on those premises for use or consumption elsewhere.

(3) The rights conferred by virtue of this Part as against the owner or occupier of any premises shall be without prejudice to any rights and obligations, as between themselves, of the owner and occupier of the premises in question. ”

Section 168.

SCHEDULE 23 Control of Water Pollution in Scotland

1 The Control of Pollution Act 1974 as it applies to Scotland is amended in accordance with the provisions of this Schedule.

2 In subsection (4) of section 4 (meaning of “land”), for the words “in a stream” there shall be substituted the words “in inland waters” .

3 In subsection (9) of section 11, for the words “relevant waters” there shall be substituted the words “controlled waters” .

4 For sections 31 to 42 there shall be substituted the following sections—

“ General provisions

30A Waters to which Part II applies.

(1) This part applies to any waters (in this Part referred to as “ controlled waters ”) of any of the following classes—

(a) relevant territorial waters, that is to say, subject to subsection (5) below, the waters which extend seaward for three miles from the baselines from which the breadth of the territorial sea adjacent to Scotland is measured;

(b) coastal waters, that is to say, any waters which are within the area which extends landward from those baselines as far as the limit of the highest tide or, in the case of the waters of any relevant river or watercourse, as far as the fresh-water limit of the river or watercourse, together with the waters of any enclosed dock which adjoins waters within that area;

(c) inland waters, that is to say, the waters of any relevant loch or pond or of so much of any relevant river or watercourse as is above the fresh-water limit;

(d) ground waters, that is to say, any waters contained in underground strata, or in—

(i) a well, borehole or similar work sunk into underground strata, including any adit or passage constructed in connection with the well, borehole or work for facilitating the collection of water in the well, borehole or work; or

(ii) any excavation into underground strata where the level of water in the excavation depends wholly or mainly on water entering it from the strata.

(2) The Secretary of State—

(a) shall deposit maps with each river purification authority showing what appear to him to be the fresh-water limits of every relevant river or watercourse in the area of that authority; and

(b) may from time to time, if he considers it appropriate to do so by reason of any change of what appears to him to be the fresh-water limit of any river or watercourse, deposit a map showing a revised limit for that river or watercourse;

and in subsection (1) above “ fresh-water limit ”, in relation to any river or watercourse, means the place for the time being shown as the fresh-water limit of that river or watercourse in the latest map deposited for that river or watercourse under this subsection.

(3) It shall be the duty of each river purification authority to keep any maps deposited with it under subsection (2) above available, at all reasonable times, for inspection by the public free of charge.

(4) In this section—

• “ miles ” means international nautical miles of 1,852 metres;

• “ loch or pond ” includes a reservoir of any description;

• “ relevant loch or pond ” means (subject to subsection (5) below) any loch or pond which (whether it is natural or artificial or above or below ground) discharges into a relevant river or watercourse or into another loch or pond which is itself a relevant loch or pond;

• “ relevant river or watercourse ” means any river or watercourse (including an underground river or watercourse and an artificial river or watercourse) which is neither a public sewer nor a sewer or drain which drains into a public sewer.

(5) The Secretary of State may by order provide—

(a) that any area of the territorial sea adjacent to Scotland is to be treated as if it were an area of relevant territorial waters for the purposes of this Part;

(b) that any loch or pond which does not discharge into a relevant river or watercourse or into a relevant loch or pond is to be treated for those purposes as a relevant loch or pond.

(6) The power of the Secretary of State to make an order under subsection (5) above shall be exercisable by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament; and such an order may—

(a) contain such supplemental, consequential and transitional provision as the Secretary of State considers appropriate; and

(b) make different provision for different cases, including different provision in relation to different persons, circumstances or localities.

30B Classification of quality of waters.

(1) The Secretary of State may, in relation to any description of controlled waters (being a description applying to some or all of the waters of a particular class or of two or more different classes), by regulations prescribe a system of classifying the quality of those waters according to criteria specified in the regulations.

(2) The criteria specified in regulations under this section in relation to any classification shall consist of one or more of the following, that is to say—

(a) general requirements as to the purposes for which the waters to which the classification is applied are to be suitable;

(b) specific requirements as to the substances that are to be present in or absent from the water and as to the concentrations of substances which are or are required to be present in the water;

(c) specific requirements as to other characteristics of those waters;

and, for the purposes of any such classification, regulations under this section may provide that the question whether prescribed requirements are satisfied may be determined by reference to such samples as may be prescribed.

30C Water quality objectives.

(1) For the purpose of maintaining and improving the quality of controlled waters the Secretary of State may, by serving a notice on a river purification authority specifying—

(a) one or more of the classifications for the time being prescribed under section 30B above; and

(b) in relation to each specified classification, a date,

establish the water quality objectives for any waters within the area of that authority which are, or are included in, waters of a description prescribed for the purposes of that section.

(2) The water quality objectives for any waters to which a notice under this section relates shall be the satisfaction by those waters, on and at all times after each date specified in the notice, of the requirements which at the time of the notice were the requirements for the classification in relation to which that date is so specified.

(3) Where the Secretary of State has established water quality objectives under this section for any waters he may review objectives for those waters if—

(a) five years or more have elapsed since the service of the last notice under subsection (1) or (6) of this section to be served in respect of those waters; or

(b) the river purification authority on which that notice has been served, after consultation with such persons as it considers appropriate, requests a review;

and the Secretary of State shall not exercise his power to establish objectives for any waters by varying the existing objectives for those waters except in consequence of such a review.

(4) Where the Secretary of State proposes to exercise his power under this section to establish or vary the objectives for any waters in the area of a river purification authority he shall—

(a) give notice to that authority setting out his proposal and specifying the period (not being less than three months from the date of publication of the notice) within which representations with respect to the proposal may be made; and

(b) consider any representations which are duly made;

and if he decides, after considering any such representations, to exercise his power to establish or vary those objectives, he may do so either in accordance with the proposal contained in the notice or in accordance with that proposal as modified in such manner as he considers appropriate.

(5) A notice under subsection (4) above shall be given—

(a) by publishing the notice in such manner as the Secretary of State considers appropriate for bringing it to the attention of persons likely to be affected by it; and

(b) by serving a copy of the notice on the authority.

(6) If, on a review under this section or in consequence of any representations made following such a review for the purposes of subsection (4) above, the Secretary of State decides that the water quality objectives for any waters in the area of a river purification authority should remain unchanged, he shall serve notice of that decision on that authority.

30D General duties to achieve and maintain objectives etc.

(1) It shall be the duty of the Secretary of State and of each river purification authority to exercise the powers conferred on him or it by or under the following provisions of this Part or the provisions of the Rivers (Prevention of Pollution) (Scotland) Acts 1951 and 1965 in such manner as ensures, so far as it is practicable by the exercise of those powers to do so, that the water quality objectives specified for any waters in a notice under section 30C above, or in a notice under section 105 of the Water Act 1989, are achieved at all times.

(2) It shall be the duty of each river purification authority, for the purposes of the carrying out of its functions under the following provisions of this Part or the provisions of the Rivers (Prevention of Pollution) (Scotland) Acts 1951 and 1965, to monitor the extent of pollution in controlled waters.

30E Consultation and collaboration.

In the performance of their functions in relation to waters partly in Scotland and partly in England river purification authorities shall, in matters of common interest, consult and collaborate with the National Rivers Authority.

Control of entry of polluting matter and effluents into water

31 Control of pollution of rivers and coastal waters etc.

(1) Subject to subsections (2) and (3) of this section, a person shall be guilty of an offence if he causes or knowingly permits—

(a) any poisonous, noxious or polluting matter to enter controlled waters; or

(b) any matter to enter any inland waters so as to tend (either directly or in combination with other matter which he or another person causes or permits to enter those waters) to impede the proper flow of the waters in a manner leading or likely to lead to a substantial aggravation of pollution due to other causes or of the consequences of such pollution; or

(c) any solid waste matter to enter controlled waters.

(2) A person shall not be guilty of an offence by virtue of the preceding subsection if—

(a) the entry in question is authorised by, or is a consequence of an act authorised by, a disposal licence or a consent given by the Secretary of State or a river purification authority in pursuance of this Act and the entry or act is in accordance with the conditions, if any, to which the licence or consent is subject; or

(b) the entry in question is authorised by, or is a consequence of an act authorised by—

(i) section 33 of the Water (Scotland) Act 1980 (which among other things relates to temporary discharges by water authorities in connection with the construction of works) or any prescribed enactment, or

(ii) any provision of a local Act or statutory order which expressly confers power to discharge effluent into water, or

(iii) any licence granted under Part II of the Food and Environment Protection Act 1985; or

(iv) any consent given under Chapter I of Part III of the Water Act 1989; or

(c) the entry in question is caused or permitted in an emergency in order to avoid danger to life or health and—

(i) he takes all such steps as are reasonably practicable in the circumstances for minimising the extent of the entry in question and of its polluting effects; and

(ii) as soon as reasonably practicable after the entry occurs, particulars of the entry are furnished to the river purification authority in whose area it occurs; or

(d) the matter in question is trade or sewage effluent discharged as mentioned in paragraph (a) of subsection (1) of section 32 or matter discharged as mentioned in paragraph (b) or (c) of that subsection and the entry in question is not from a vessel;

and a person shall not be guilty of an offence by virtue of the preceding subsection by reason only of his permitting water from an abandoned mine to enter controlled waters.

(3) A person shall not by virtue of paragraph (b) or (c) of subsection (1) of this section be guilty of an offence by reason of his depositing the solid refuse of a mine or quarry on any land so that it falls or is carried into inland waters if—

(a) he deposits the refuse on the land with the consent (which shall not be unreasonably withheld) of the river purification authority in whose area the land is situated; and

(b) no other site for the deposit is reasonably practicable; and

(c) he takes all reasonably practicable steps to prevent the refuse from entering those inland waters.

(4) Where it appears to the Secretary of State that, with a view to preventing poisonous, noxious or polluting matter from entering any controlled waters, it is appropriate to prohibit or restrict the carrying on in a particular area of activities which he considers are likely to result in pollution of the waters, then, subject to subsection (5) below, he may by regulations—

(a) designate that area; and

(b) provide that prescribed activities shall not be carried on at any place within the area except with the consent (which shall not be unreasonably withheld) of the river purification authority in whose area the place is situated and in accordance with any reasonable conditions to which the consent is subject;

(c) provide that a contravention of the regulations shall be an offence and prescribe the maximum penalty for the offence; and

(d) make provision for the imposition by river purification authorities of charges in respect of the consent mentioned in paragraph (b) above.

(5) It shall be the duty of the Secretary of State, before he makes any regulations under subsection (4) above—

(a) to publish in the Edinburgh Gazette and in at least one newspaper circulating in the area in question a copy of the proposed regulations and a notice specifying—

(i) a period of not less than twenty-eight days, beginning with the date on which the notice is first published, within which objections to the proposed regulations may be made, and

(ii) the person to whom such objections may be made; and

(b) to consider any objections to the proposed regulations which are made within that period and, if such an objection is so made by a prescribed person and is not withdrawn, to cause a local inquiry to be held in pursuance of section 96 of this Act with respect to the proposed regulations;

and the Secretary of State may, after considering any such objections as are mentioned in paragraph (b) of this subsection and the report of any person appointed to hold a local inquiry with respect to the proposed regulations, make the regulations either in the form in which a copy of them was published in pursuance of this subsection or in that form with such modifications as he considers appropriate.

(6) A river purification authority may by byelaws make such provision as the authority considers appropriate for prohibiting or regulating the washing or cleaning, in any controlled waters in its area, of things of a kind specified in the byelaws; and a person who contravenes any byelaws made by virtue of this subsection shall be guilty of an offence and liable on summary conviction to a fine not exceeding level 4 on the standard scale or such smaller sum as is specified in the byelaws.

(7) A person guilty of an offence by virtue of subsection (1) of this section shall be liable—

(a) on summary conviction, to imprisonment for a term not exceeding three months or a fine not exceeding the statutory maximum or both;

(b) on conviction on indictment, to imprisonment for a term not exceeding two years or a fine or both.

(8) The maximum penalty prescribed in pursuance of subsection (4) of this section shall not exceed the penalties specified in paragraphs (a) and (b) of the preceding subsection.

(9) In subsection (4) of this section, the reference to the entry of poisonous, noxious or polluting matter into controlled waters shall not include a reference to the entry of nitrate into controlled waters as a result of, or of anything done in connection with, the use of any land for agricultural purposes.

(10) In subsection (2) of this section—

• “ disposal licence ” has the same meaning as in Part I of this Act;

• “ local Act ” includes enactments in a public general Act which amend a local Act;

• “ statutory order ” means an order, byelaw, scheme or award made under an Act of Parliament, including an order or scheme confirmed by Parliament or brought into operation in accordance with special parliamentary procedure.

31A Requirements to take precautions against pollution.

(1) The Secretary of State may by regulations make provision—

(a) for prohibiting a person from having custody or control of any poisonous, noxious or polluting matter unless prescribed works and prescribed precautions and other steps have been carried out or taken for the purpose of preventing the matter from entering controlled waters;

(b) for requiring a person who already has custody or control of, or makes use of, any such matter to carry out such works for that purpose and to take such precautions and other steps for that purpose as may be prescribed.

(2) Without prejudice to the generality of the power conferred by subsection (1) above, regulations under that subsection may—

(a) confer power on the river purification authorities—

(i) to determine for the purposes of the regulations the circumstances in which a person is required to carry out works or take any precautions or other steps; and

(ii) by notice to that person, to impose the requirement and to specify or describe the works, precautions or other steps which that person is required to carry out or take;

(b) provide for appeals to the Secretary of State against notices served by a river purification authority in pursuance of provision made by virtue of paragraph (a) above; and

(c) provide that a contravention of the regulations shall be an offence the penalty for which shall be—

(i) on summary conviction, imprisonment for a term not exceeding three months or to a fine not exceeding the statutory maximum or to both;

(ii) on conviction on indictment, to imprisonment for a term not exceeding two years or to a fine or both.

31B Nitrate sensitive areas.

(1) Where the Secretary of State considers that it is appropriate to do so with a view to achieving the following purpose, that is to say, preventing or controlling the entry of nitrate into controlled waters as a result of, or of anything done in connection with, the use of any land for agricultural purposes, he may by order designate that land, together with any other land to which he considers it appropriate to apply the designation, as a nitrate sensitive area.

(2) Where any area has been designated as a nitrate sensitive area by an order under this section and the Secretary of State considers that it is appropriate to do so with a view to achieving the purpose mentioned in subsection (1) above, he may, subject to such restrictions (if any) as may be set out in the order, enter into an agreement under which, in consideration of payments to be made by him—

(a) the absolute owner (within the meaning of section 93 of the Agricultural Holdings (Scotland) Act 1949) of any agricultural land in that area; or

(b) where any such owner has given his written consent to the agreement being entered into by any person having another interest in that land, that other person,

accepts such obligations with respect to the management of that land or otherwise as may be imposed by the agreement.

(3) Where it appears to the Secretary of State in relation to any area which is, or is to be, designated by an order under this section as a nitrate sensitive area that it is appropriate for provision for the imposition of requirements, prohibitions or restrictions to be contained in an order under this section (as well as for him to be able to enter into such agreements as are mentioned in subsection (2) above), he may, by a subsequent order under this section or, as the case may be, by the order designating that area—

(a) with a view to achieving the purpose mentioned in subsection (1) above, require, prohibit or restrict the carrying on on or in relation to any agricultural land in that area of such activities as may be specified or described in the order; and

(b) provide for such amounts (if any) as may be specified in or determined under the order to be paid by the Secretary of State, to such persons as may be so specified or determined, in respect of the obligations imposed in relation to that area on those persons by virtue of paragraph (a) above.

(4) Without prejudice to the generality of subsection (3) above, provision contained in an order under this section by virtue of that subsection may—

(a) confer power upon the Secretary of State to determine for the purposes of the order the circumstances in which the carrying on of any activities is required, prohibited or restricted and to determine the activities to which any such requirement, prohibition or restriction applies;

(b) provide for any requirement to carry on any activity not to apply in cases where the Secretary of State has consented to a failure to carry on that activity and any conditions on which the consent has been given are complied with;

(c) apply a prohibition or restriction in respect of any activities to cases where the activities are carried on without the consent of the Secretary of State or in contravention of any conditions subject to which any such consent is given;

(d) provide that a contravention of a requirement, prohibition or restriction contained in the order or in a condition of a consent given in relation to or for the purposes of any such requirement, prohibition or restriction shall be an offence the maximum penalties for which shall not exceed the maximum penalties specified in subsection (7) of section 31 above;

(e) provide for amounts paid in pursuance of any provision contained in the order to be repaid at such times and in such circumstances and with such interest as may be specified in or determined under the order;

(f) provide (subject to any regulations under subsection (6) below) for anything falling to be determined under the order by any person to be determined in accordance with such procedure and by reference to such matters and to the opinion of such persons as may be specified in the order.

(5) The Secretary of State shall not make an order under this section except in accordance with any applicable provisions of Schedule 1A to this Act.

(6) The Secretary of State may, for the purposes of any orders under this section which require his consent to the carrying on of any activities or to any failure to carry on any activity, by regulations make provision with respect to—

(a) applications for any such consent;

(b) the conditions of any such consent;

(c) the revocation or variation of any such consent;

(d) the reference to arbitration of disputes about determinations on any such application;

(e) the imposition of charges where such an application has been made, such a consent has been given or there has been any act or omission in pursuance of any such consent; and

(f) the registration of any such application or consent.

31C Registering of agreement.

(1) An agreement under subsection (2) of section 31B above may—

(a) where the land is registered in the Land Register of Scotland, be registered in that register;

(b) in any other case, be recorded in the appropriate Division of the General Register of Sasines.

(2) An agreement registered or recorded under subsection (1) above shall be enforceable at the instance of the Secretary of State against persons deriving title to the land (including any person acquiring right to a tenancy by assignation or succession) from the person who entered into the agreement; provided that such an agreement shall not be enforceable against a third party who shall have in good faith and for value acquired right (whether completed by infeftment or not) to the land prior to the agreement being registered or recorded as aforesaid, or against any person deriving title from such third party.

(3) Notwithstanding the terms of any agreement registered or recorded under subsection (1) above, the parties to the agreement or any persons deriving title from them may at any time agree to terminate it; and such an agreement to terminate it shall be registered or recorded in the same manner as was the original agreement.

31D Powers of entry in relation to agreements under section 31B.

The powers which by virtue of subsection (1) of section 91 of this Act are conferred in relation to any premises for the purpose—

(a) of enabling the Secretary of State to determine whether or in what manner to exercise any power conferred on him by or under section 31B of this Act or to determine whether any provision of an order under that section is being or has been contravened; or

(b) of enabling a river purification authority to determine whether to make an application for the purpose of paragraph 1 of Schedule 1A to this Act,

shall include power, in order to obtain information on which that determination may be made, to carry out experimental borings or other works on those premises and to install and keep monitoring and other apparatus there.

32 Control of discharges of trade and sewage effluent etc. into rivers and coastal waters etc.

(1) Subject to subsections (3) to (5) of this section, a person shall be guilty of an offence if he causes or knowingly permits—

(a) any trade effluent or sewage effluent to be discharged—

(i) into any controlled waters, or

(ii) from land in Scotland through a pipe into the sea outside the seaward limits of controlled waters, or

(iii) from a building or from plant on to or into any land or into any waters of a loch or pond which are not inland waters; or

(b) any matter other than trade or sewage effluent to be discharged into controlled waters from a sewer as defined by section 59(1) of the Sewerage (Scotland) Act 1968 or from a drain as so defined; or

(c) any matter other than trade or sewage effluent to be discharged into controlled waters from a drain which a roads authority is obliged or entitled to keep open by virtue of section 31 of the Roads (Scotland) Act 1984, and in respect of which the river purification authority in whose area the discharge occurs has, not later than the beginning of the period of three months ending with the date of the discharge, served on the roads authority a notice stating that this paragraph is to apply to the drain,

unless the discharge is made with the consent in pursuance of section 34 of this Act of the river purification authority in whose area the discharge occurs (or, in a case falling within paragraph (a)(ii) of this subsection, of the river purification authority whose area includes the point at which the pipe passes or first passes into or under controlled waters from the sea outside them) and is in accordance with the conditions, if any, to which the consent is subject.

(2) Where any sewage effluent is discharged as mentioned in paragraph (a) of the preceding subsection from any works or sewer vested in a local authority and the authority did not cause or knowingly permit the discharge but was bound to receive into the works or sewer, either unconditionally or subject to conditions which were observed, matter included in the discharge, the authority shall be deemed for the purposes of that subsection to have caused the discharge.

(3) The Secretary of State may—

(a) by an order made before subsection (1) of this section comes into force provide that that subsection shall not, while the order is in force, apply to discharges which are of a kind or in an area specified in the order and for which, if this Act had not been passed, consent in pursuance of the Rivers (Prevention of Pollution) (Scotland) Acts 1951 and 1965 would not have been required;

(b) by order vary or revoke any order in force by virtue of the preceding paragraph;

and an order made by virtue of this subsection may require any river purification authority specified in the order to publish in a manner so specified such information about the order as is so specified.

(4) Subsection (1) of this section shall not apply to any discharge which—

(a) is from a vessel; or

(b) is authorised by a licence granted under Part II of the Food and Environment Protection Act 1985,

and a person shall not be guilty of an offence under subsection (1) if—

(i) the discharge is caused or permitted in an emergency in order to avoid danger to life or health;

(ii) he takes all such steps as are reasonably practicable in the circumstances for minimising the extent of the discharge and of its polluting effects; and

(iii) as soon as reasonably practicable after the discharge occurs, particulars of the discharge are furnished to the river purification authority in whose area it occurs.

(5) A local authority shall not be guilty of an offence by virtue of subsection (1) of this section by reason only of the fact that a discharge from a sewer or works vested in the authority contravenes conditions of a consent relating to the discharge if—

(a) the contravention is attributable to a discharge which another person caused or permitted to be made into the sewer or works; and

(b) the authority either was not bound to receive the discharge into the sewer or works or was bound to receive it there subject to conditions but the conditions were not observed; and

(c) the authority could not reasonably have been expected to prevent the discharge into the sewer or works;

and a person shall not be guilty of such an offence in consequence of a discharge which he caused or permitted to be made into a sewer or works vested in a local authority if the authority was bound to receive the discharge there either unconditionally or subject to conditions which were observed.

(6) In subsection (2) of this section and the preceding subsection, “ local authority ” means a local authority within the meaning of the Sewerage (Scotland) Act 1968.

(7) A person who is guilty of an offence by virtue of subsection (1) of this section shall be liable—

(a) on summary conviction, to imprisonment for a term not exceeding three months or a fine not exceeding the statutory maximum or both;

(b) on conviction on indictment, to imprisonment for a term not exceeding two years or a fine or both.

33 Control of sanitary appliances on vessels.

(1) A river purification authority may by byelaws make such provision as the authority considers appropriate for prohibiting or regulating the keeping or use, on any controlled waters in the area of the authority, of vessels of a kind specified in the byelaws which are provided with sanitary appliances; and a person who contravenes any byelaw made by virtue of this section shall be guilty of an offence.

(2) The Secretary of State may by order provide that any byelaws specified in the order which were made by virtue of section 25(1)(c) of the Rivers (Prevention of Pollution) (Scotland) Act 1951 (byelaws) shall have effect, with such modifications (if any) as are so specified, as if made by virtue of the preceding subsection.

(3) In this section “ sanitary appliance ” means a water closet or other prescribed appliance (except a sink, bath and a shower-bath) which is designed to permit polluting matter to pass into the water on which the vessel in question is for the time being situated.

(4) A person guilty of an offence by virtue of any of the preceding provisions of this section shall be liable on summary conviction to a fine of an amount not exceeding level 4 on the standard scale or such smaller sum as may be specified in the byelaws.

Consents for discharges

34 Consents for discharges of trade and sewage effluent etc.

(1) An application to a river purification authority for consent in pursuance of this section for discharges of any effluent or other matter shall be accompanied or supplemented by all such information as the authority may reasonably require; and the authority may if it thinks fit treat an application for consent for discharges at two or more places as separate applications for consent for discharges at each of those places.

(2) Subject to the following section, it shall be the duty of a river purification authority to which an application for consent is made in pursuance of this section—

(a) to give the consent either unconditionally or subject to conditions or to refuse it; and

(b) not to withhold the consent unreasonably;

and if within the period of three months beginning with the date when an application for consent is received by the authority, or within such longer period as may at any time be agreed upon in writing between the authority and the applicant, the authority has neither given nor refused the consent nor informedthe applicant that the application has been transmitted to the Secretary of State in pursuance of the following section, the authority shall be deemed to have refused the consent.

(3) If it appears to the authority that a person has, without the authority’s consent, caused or permitted matter to be discharged in its area in contravention of section 32(1) of this Act and that a similar contravention by that person is likely, the authority may if it thinks fit serve on him an instrument in writing giving its consent, subject to conditions specified in the instrument, for discharges of a kind so specified; but consent given in pursuance of this subsection shall not relate to any discharge which occurred before the instrument giving the consent was served on the recipient of the instrument.

(4) The conditions subject to which the authority may give its consent in pursuance of this section shall be such reasonable conditions as the authority thinks fit; and without prejudice to the generality of the preceding provisions of this subsection those conditions may include reasonable conditions—

(a) as to the places at which the discharges to which the consent relates may be made and as to the design and construction of any outlets for the discharges;

(b) as to the nature, origin, composition, temperature, volume and rate of the discharges and as to the period during which the discharges may be made;

(c) as to the provision of facilities for taking samples of the matter discharged and in particular as to the provision, maintenance and use of manholes, inspection chambers, observation wells and boreholes in connection with the discharges;

(d) as to the provision, maintenance and testing of meters for measuring the volume and rate of the discharges and apparatus for determining the nature, composition and temperature of the discharges;

(e) as to the keeping of records of the nature, origin, composition, temperature, volume and rate of the discharges and in particular of records of readings of meters and other recording apparatus provided in accordance with any other condition attached to the consent;

(f) as to the making of returns and the giving of other information to the authority about the nature, origin, composition, temperature, volume and rate of the discharges; and

(g) as to the steps to be taken, in relation to the discharges or by way of subjecting any substance likely to affect the description of matter discharged to treatment or any other process, for minimising the polluting effects of the discharges on any controlled waters;