Change 1 Article Choose an article Title and introductory text 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 General duties of Secretary of State and Director. 3A The principal objective and general duties of the Secretary of State and the Authority. 3B Guidance on social and environmental matters. 3C Health and safety. 3D Exceptions from sections 3A to 3C. 3E Binding decisions of the Agency for the Cooperation of Energy Regulators and of the European Commission 3F Authority to consult and cooperate with other authorities 4 Prohibition on unlicensed supply etc. 5 Exemptions from prohibition. 5A Duties of distribution exemption holders 5B Duties of supply exemption holders 6 Licences authorising supply, etc. 6A Procedure for licence applications. 6B Applications for transmission licences. 6BA Meaning of “relevant electricity project”, “relevant licence” and “relevant contract” 6BB Designation of a delivery body 6C Competitive tenders 6CA Power to require information 6CB Recovery of tender costs 6CC Competitive tenders: supplementary 6CD Sections 6C to 6CC: further definitions 6D Section 6C: supplemental provision 6E Property schemes in respect of relevant licences and contracts 6F ... Transmission during commissioning period 6G Section 6F: meaning of “commissioning period” 6H Sections 6C, 6F and 6G: modification of codes or agreements 7 Conditions of licences: general. 7A Transfer of licences. 7B Uniform prices etc. in certain areas of Scotland. 8 Conditions for funding certain companies engaged in nuclear generation in Scotland. 8A Standard conditions of licences. 9 General duties of licence holders. 10 Powers etc. of licence holders. 10A Electricity transmission and the operation of electricity interconnectors: requirement for certain participants to be certified as independent 10B Application for certification 10C Report where applicant connected with a country outside the United Kingdom 10D Certification 10E Grounds for certification 10F The ownership unbundling requirement 10G The ownership unbundling requirement: supplementary 10H Designation for the purposes of the Electricity Regulation 10I Monitoring and review of certification 10J Review of certification: requirement to provide information etc 10K Report as to any connection of certified person with a country outside the United Kingdom 10L Continuation or withdrawal of certification 10M Prohibition on the exercise of certain shareholder rights and rights of appointment 10N Validity of acts infringing section 10M 10O Interpretation 10P Long duration electricity storage 11 Modification by agreement. 11A Modification of conditions of licences 11AA Modification of conditions under section 11A: early effective date 11B Modification of conditions under section 11A: supplementary 11C Appeal to the CMA 11D Procedure on appeal to CMA 11E Determination by CMA of appeal 11F CMA's powers on allowing appeal 11G Time limits for CMA to determine an appeal 11H Determination of appeal by CMA : supplementary 12 Modification references to Monopolies Commission. 12A References under section 12: time limits 12B References under section 12: powers of investigation 13 Reports on modification references. 14 Modification following report. 14A Competition Commission’s power to veto modifications following report. 15 Modification by order under other enactments. 15A Licence modifications relating to new electricity trading arrangements. 16 Duty to connect on request. 16A Procedure for requiring a connection. 17 Exceptions from duty to connect. 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 Power to recover expenditure. 20 Power to require security. 21 Additional terms of connection. 22 Special agreements with respect to connection. 23 Determination of disputes. 24 The public electricity supply code. 25 Orders for securing compliance. 26 Procedural requirements. 27 Validity and effect of orders. 27A Penalties. 27B Statement of policy with respect to penalties. 27C Time limits on the imposition of financial penalties. 27D Interest and payment of instalments. 27E Appeals against penalties. 27F Recovery of penalties. 27G Consumer redress orders 27H Remedial action under a consumer redress order 27I Other procedural requirements in relation to consumer redress orders 27J Statement of policy with respect to consumer redress orders 27K Time limits for making consumer redress orders 27L Enforcement of consumer redress orders 27M Appeals against consumer redress orders 27N Consumer redress orders: miscellaneous 27O Maximum amount of penalty or compensation 28 Power to require information etc. 29 Regulations relating to supply and safety. 30 Electrical inspectors. 31 Use etc. of meters. 32 The renewables obligation 32A Further provision about the renewables obligation 32B Renewables obligation certificates 32C Section 32B: supplemental provision 32D Amounts of electricity specified in certificates 32E Section 32D: transitional provision and savings 32F Use of renewables obligation certificates issued in Northern Ireland 32G Payment as alternative to complying with renewables obligation order 32H Allocation of amounts to electricity suppliers 32I Costs of the Authority and the Northern Ireland authority 32J Information 32K Renewables obligation order: general provision 32L Renewables obligation orders: procedure 32LA Renewables obligation closure order 32LB Renewables obligation closure orders: procedure 32LC Onshore wind generating stations: closure of renewables obligation 32LD Onshore wind generating stations accredited, or additional capacity added, on or before the onshore wind closure date 32LE Onshore wind generating stations accredited, or additional capacity added, in the year after the onshore wind closure date: grid or radar delay condition met 32LF Onshore wind generating stations accredited, or additional capacity added, on or before 31 March 2017: approved development condition met 32LG Onshore wind generating stations accredited, or additional capacity added, between 1 April 2017 and 31 March 2018: grid or radar delay condition met 32LH Onshore wind generating stations accredited, or additional capacity added, between 1 April 2017 and 31 January 2018: investment freezing condition met 32LI Onshore wind generating stations accredited, or additional capacity added, between 1 February 2018 and 31 January 2019: grid or radar delay condition met 32LJ The approved development condition 32LK The investment freezing condition 32LL The grid or radar delay condition 32LM Use of Northern Ireland certificates: onshore wind power 32M Interpretation of sections 32 to 32M 32N The certificate purchase obligation 32O Further provision about the certificate purchase obligation 32P Certificate purchase levy 32Q Use of levy payments 32R Designation of a CFD counterparty as purchasing body or administrator 32S GB certificates 32T NI certificates 32U Sections 32S and 32T: supplemental provision 32V Certificate purchase orders: amounts of electricity stated in certificates 32W Section 32V: transitional provision and savings 32X Certificate purchase orders: information 32Y Certificate purchase orders: corresponding provision 32Z Certificate purchase orders: general provision 32Z1 Certificate purchase orders: procedure 32Z2 Interpretation of sections 32N to 32Z2 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34 Fuel stocks etc. at generating stations. 35 Provisions supplementary to section 34. 36 Consent required for construction etc. of generating stations. 36A Declarations extinguishing etc. public rights of navigation 36B Duties in relation to navigation 36C Variation of consents under section 36 36D Proceedings for questioning certain decisions of the Scottish Ministers 36E Applications under section 36D: requirement for permission 37 Consent required for overhead lines. 37A Application for variation of section 37 consent: Scotland 37B Variation of section 36 and 37 consents on change of circumstances: Scotland 37C Correction of errors in consent documents: Scotland 38 Preservation of amenity and fisheries. 38A Power to establish scheme for giving of benefits 38B Passing of benefits to ultimate consumer 38C Enforcement of benefit scheme 38D Disclosure and use of information in connection with benefit scheme 39 Electricity supply: performance in individual cases. 39A Standards of performance in individual cases: electricity distributors. 39B Standards of performance in individual cases: disputes. 40 Electricity supply: overall performance. 40A Overall standards of performance: electricity distributors. 40B Procedures for prescribing or determining standards of performance. 41A Promotion of reductions in carbon emissions: ... electricity distributors and electricity suppliers 41AA Scottish Ministers' promotion of reductions in carbon emissions: electricity suppliers 41B Promotion of reductions in home-heating costs: electricity distributors and electricity suppliers 41BA Scottish Ministers' promotion of reductions in home-heating costs: electricity suppliers 42 Information with respect to levels of performance. 42A Information to be given to customers about overall performance. 42AA Publication of statistical information about standards of performance. 42AB Information relating to complaints handling standards 42B Procedures for dealing with complaints. 42C Remuneration and service standards. 43 Functions with respect to competition. 43A Adjustment of charges to help disadvantaged groups of customers. 43B Orders: supplementary. 44 Maximum prices for reselling electricity. 44B Meaning of “section 44B dispute” 44C Determination of disputes 44D Time limit for determinations 45 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46 Consumer complaints. 46A Power of Council to investigate other matters. 47ZA Annual report by Authority on security of electricity supply 47 General functions. 47A Power to require information etc for the purpose of monitoring 48 Publication of information and advice. 49 Keeping of register. 49A Reasons for decisions. 50 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56 Continuity of employment of officers of abolished Councils. 56A Power to alter activities requiring licence. 56B Application by Authority for order including new activities. 56C References to CMA . 56CA References under section 56C: time limits 56CB References under section 56C: application of Enterprise Act 2002 56D Reports on references. 56E Application by Authority for order excluding activities. 56F Consultation by Secretary of State about order excluding activities. 56FA New licensable activities: smart meters 56FB Section 56FA: supplemental 56FBA New licensable activities: load control of energy smart appliances 56FBB Regulations under section 56FBA 56FC Competitive tenders for licences for new licensable activities 56G Service by Authority of certain notices on Citizens Advice and Consumer Scotland. 57 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58 Directions restricting the use of certain information. 59 Making of false statements etc. 60 Powers to make regulations. 61 Concurrent proceedings. 62 Public inquiries. 63 Application to Crown land. 64 Interpretation etc. of Part I. 65 Transfer of property etc. of Area Boards. 66 Transfer of property etc. of Generating Board and Electricity Council. 67 Transfer of property etc. of Scottish Boards. 68 Transfer schemes under sections 66 and 67. 69 Functions of Secretary of State in relation to transfer schemes. 70 Supplementary provisions as to transfers under sections 66 and 67. 71 Initial Government holding in the companies. 72 Government investment in securities of the companies. 73 Exercise of functions through nominees. 74 Target investment limit for Government shareholding. 75 Statutory reserves. 76 Statutory accounts. 77 Temporary restrictions on borrowings etc. 78 Government lending to the companies. 79 Treasury guarentees for loans made to the companies. 80 Conversion of certain loans etc. to the Scottish companies. 81 Financial limits on borrowing etc. 82 Responsibility for composite listing particulars. 83 Application of Trustee Investments Act 1961 in relation to investment in operating companies. 84 Dissolution etc. of existing bodies. 85 Compensation to members and employees of existing bodies. 86 Discharge of certain advances and loans made to existing bodies. 87 Expenditure and receipts of Electricity Council. 88 Grants towards expenditure during transitional period. 89 Payments for the use of tax losses. 90 Taxation provisions. 91 Electricity Stock. 92 Abolition of central guarantee fund. 93 Parliamentary disqualification. 94 Construction of references to property, rights and liabilities. 95 Other interpretation of Part II. 96 Directions for preserving security of electricity supplies etc. 97 Financial assistance for discharge of nuclear liabilities. 98 Provision of statistical information. 99 Promotion of new techniques in national interest. 100 Competition and restrictive trade practices. 101 Rights of entry. 102 Production and supply of heat or electricity etc. by Scottish local authorities. 103 Stamp duty exemption for certain contracts. 104 Amendment etc. of Electricity Supply Pension Scheme. 105 Amendment etc. of Scottish Pension Schemes. 106 Regulations and orders. 107 Directions. 108 Offences by bodies corporate. 108A Extraterritorial operation of Act 109 Service of documents. 110 Financial provisions. 111 General interpretation. 112 Amendments, transitional provisions, savings and repeals. 113 Short title, commencement and extent. SCHEDULE 1 SCHEDULE 2 SCHEDULE 2ZA Duties of distribution exemption holders SCHEDULE 2ZB Duties of supply exemption holders SCHEDULE 2A Property Schemes SCHEDULE 3 Compulsory Acquisition of Land etc. by Licence Holders SCHEDULE 4 Other Powers etc. of Licence Holders SCHEDULE 5 Water Rights for Hydro-Electric Generating Stations in Scotland SCHEDULE 5A Procedure for appeals under section 11C SCHEDULE 5B Reimbursement of persons who have met expenses Schedule 6 The electricity code SCHEDULE 6A Provisions imposing obligations enforceable as relevant requirements SCHEDULE 7 Use etc. of Electricity Meters SCHEDULE 8 Consents of the Secretary of State and the Scottish Ministers under Sections 36 and 37 SCHEDULE 9 PRESERVATION OF AMENITY AND FISHERIES. SCHEDULE 10 Transfers under Sections 66 and 67 SCHEDULE 11 TAXATION PROVISIONS SCHEDULE 12 Nuclear Liabilities: Financial Assistance SCHEDULE 13 Production and Supply of Heat or Electricity etc. by Scottish Local Authorities SCHEDULE 14 The Electricity Supply Pension Scheme SCHEDULE 15 The Scottish Pension Schemes SCHEDULE 16 Minor and Consequential Amendments SCHEDULE 17 Transitional Provisions and Savings SCHEDULE 18 Repeals
What to do with it
As published
75 Statutory reserves.
(1) If the Secretary of State with the approval of the Treasury so directs at any time before a successor company ceases to be wholly owned by the Crown, such sum as may be specified in the direction but not exceeding—
(a) in the case of a supply company, the accumulated realised profits of the transferor;
(b) in the case of a Scottish electricity company, the aggregate of such proportion of the accumulated realised profits of the transferor as is determined by or under the transfer scheme and any accumulated realised profits arising (after compliance with any direction to the company under subsection (2) of section 80 below) by virtue of the extinguishment of liabilities of the company by an order under subsection (1) of that section;
(c) in any other case, such proportion of the accumulated realised profits of the transferor as is determined by or under the transfer scheme,
shall be carried by the company to a reserve (in this section referred to as “the statutory reserve”).
(2) A company having a statutory reserve 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.
(3) Notwithstanding subsection (2) above, the statutory reserve of a company shall not count as an undistributable reserve of the company for the purposes of section 831(4)(d) of the Companies Act 2006; but for the purpose of determining under that section whether a company with a statutory reserve may make a distribution at any time any amount for the time being standing to the credit of the reserve shall be treated for the purposes of section 831(4)(c) of that Act as if it were unrealised profits of the company.
Your wording
Your change, as a redline
75 Statutory reserves.
(1) If the Secretary of State with the approval of the Treasury so directs at any time before a successor company ceases to be wholly owned by the Crown, such sum as may be specified in the direction but not exceeding—
(a) in the case of a supply company, the accumulated realised profits of the transferor;
(b) in the case of a Scottish electricity company, the aggregate of such proportion of the accumulated realised profits of the transferor as is determined by or under the transfer scheme and any accumulated realised profits arising (after compliance with any direction to the company under subsection (2) of section 80 below) by virtue of the extinguishment of liabilities of the company by an order under subsection (1) of that section;
(c) in any other case, such proportion of the accumulated realised profits of the transferor as is determined by or under the transfer scheme,
shall be carried by the company to a reserve (in this section referred to as “the statutory reserve”).
(2) A company having a statutory reserve 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.
(3) Notwithstanding subsection (2) above, the statutory reserve of a company shall not count as an undistributable reserve of the company for the purposes of section 831(4)(d) of the Companies Act 2006; but for the purpose of determining under that section whether a company with a statutory reserve may make a distribution at any time any amount for the time being standing to the credit of the reserve shall be treated for the purposes of section 831(4)(c) of that Act as if it were unrealised profits of the company.
A proposal here is not law. Support on Solon is evidence that people want the change; the official route says what it takes to make it law.