Statutory Instruments
2003 No. 2712
ELECTRONIC COMMUNICATIONS
The Electronic Communications (Networks and Services) (Penalties) (Rules for Calculation of Turnover) Order 2003
Made
22nd October 2003
Coming into force
27th October 2003
Whereas a draft of this Order has been laid before Parliament in accordance with section 97(4) of the Communications Act 2003( 1 );
And whereas the said draft as so laid has been approved by resolution of each House of Parliament;
Now therefore the Secretary of State in exercise of the powers conferred on her by sections 97(3)(a) and 402(3)(a) of the Communications Act 2003 hereby makes the following Order:
Citation and commencement
1. This Order may be cited as the Electronic Communications (Networks and Services) (Penalties) (Rules for Calculation of Turnover) Order 2003 and shall come into force on 27th October 2003.
Interpretation
2. In this Order:
“the Act” means the Communications Act 2003; and
“notified provider” has the same meaning as in section 96 of the Act.
Rules for Calculation of turnover for the purposes of section 97
3. The rules for the calculation of turnover of a notified provider’s relevant business for a relevant period for the purposes of section 97 of the Act shall be the rules set out in the Schedule to this Order.
Stephen Timms,
Minister of State for Energy, E-Commerce and Postal Services
Department of Trade and Industry
Rule 3
SCHEDULE RULES FOR CALCULATION OF TURNOVER FOR PURPOSES OF SECTION 97
General rules
1. The turnover of a notified provider shall be calculated in conformity with accounting practices and principles which are generally accepted in the United Kingdom.
3. When a notified provider’s relevant business consists of two or more undertakings that each prepare accounts then the turnover shall be calculated by adding together the turnover of each, save that no account shall be taken of any turnover resulting from the supply of goods or the provision of services between them.
Rules about aids granted to a notified provider
4.—(1) Any aid ... granted by a public body to a notified provider which relates to one of that provider’s ordinary activities shall be included in the calculation of turnover if the notified provider is himself the recipient of the aid and if the aid is directly linked to the carrying out by that provider of the relevant business.
(2) In this paragraph “ aid ” means a measure which—
(a) fulfils the conditions set out in Article 1.1 of the Agreement on Subsidies and Countervailing Measures contained in Annex 1A to the WTO Agreement, and
(b) is specific within the meaning of Article 2 of that Agreement, irrespective of whether the recipient deals in goods or services.