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Schedule 2 — Investment Contracts

Oral Answers to Questions — Communities and Local Government – in the House of Commons at 7:00 pm on 3rd June 2013.

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Votes in this debate

Amendments made: 71, page 107, line 25, leave out from ‘paragraph 3)’ to the end of line 29.

72, page 108, line 15, leave out from ‘paragraph 3)’ to the end of line 19.—(Michael Fallon.)

Amendment proposed: 9, page 108, line 24, at end insert—

‘( ) For the purposes of paragraphs 1 and 2, information is “confidential information” only if it constitutes a trade secret.’. —(Tom Greatrex.)

Question put, That the amendment be made.

The House divided:

Ayes 227, Noes 304.

Division number 15 Communities and Local Government — Schedule 2 — Investment Contracts

Aye: 227 MPs

No: 302 MPs

Ayes: A-Z by last name

Tellers

Nos: A-Z by last name

Tellers

Question accordingly negatived.

Amendments made: 73, page 109, line 24, leave out ‘may be designated’ and insert ‘is eligible’.

74, page 109, line 29, at beginning insert

‘The Secretary of State may exercise the power to designate so that’.

75, page 109, line 29, leave out ‘may have’ and insert ‘has’.

76, page 109, line 29, at end insert

‘, but only if the Secretary of State considers it necessary for the purpose of ensuring that—

(a) liabilities under an investment contract are met,

(b) arrangements entered into for purposes connected to an investment contract continue to operate, or

(c) directions given to an investment contract counterparty continue to have effect.’.

77, page 109, line 34, leave out ‘28 days’’ and insert ‘3 months’’.

78, page 109, line 37, leave out ‘obligations’ and insert ‘liabilities’.

79, page 110, line 38, at end insert—

‘(3A) In sub-paragraph (3)(a) “costs” means costs in connection with the performance of any function conferred by or by virtue of this Schedule.’.

80, page 111, line 27, at end insert—

‘(9) The Secretary of State, an investment contract counterparty or a CFD counterparty may recover from an electricity supplier, as a civil debt due, any sum which—

(a) the electricity supplier is required by virtue of regulations to pay to the Secretary of State, the investment contract counterparty or the CFD counterparty (as the case may be), and

(b) has not been paid by the date on which it is required by virtue of regulations to be paid.’.

81, page 111, line 31, at end insert—

‘(2) Provision made by virtue of this paragraph may—

(a) include provision for the person by whom sums are owed to calculate or determine, in accordance with such criteria as may be provided for by or under the regulations, amounts which are owed;

(b) provide for anything which is to be calculated or determined under the regulations to be calculated or 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 specified in the regulations.’.

82, page 111, line 43, leave out ‘obligations’ and insert ‘liabilities’.

83, page 112, line 2, leave out ‘obligations’ and insert ‘liabilities’.

84, page 112, line 3, at end insert—

‘(2A) In making provision by virtue of sub-paragraph (1) the Secretary of State must have regard to the principle that sums should be apportioned in proportion to the amounts which are owed.’.

85, page 114, line 11, at end insert—

‘(1A) An investment contract counterparty and a CFD counterparty must exercise the functions conferred by or by virtue of this Schedule to ensure that it can meet its liabilities under any investment contract to which it is a party.’.

86, page 114, line 30, at end insert—

‘(4) Regulations must include such provision as the Secretary of State considers necessary to ensure that an investment contract counterparty or a CFD counterparty can meet its liabilities under any investment contract to which it is a party.’.

87, page 115, line 5, after ‘property,’ insert ‘or designated’.

88, page 115, line 16, leave out

‘, to any extent considered appropriate by the Secretary of State,’.

89, page 115, line 17, after ‘treated’ insert ‘to any extent’.

90, page 115, line 18, at end insert—

‘(2A) Sub-paragraph (2B) applies from the beginning of the first day on which all of the following three conditions are met, namely—

(a) a definition of an “eligible generator” is in force by virtue of section 10(3) or the date is 1st January 2016 or later;

(b) a designation under section 7(1) has effect;

(c) provision required by section 9(1) to be made is in force.

(2B) The Secretary of State must in respect of each investment contract, within such period of time as the Secretary of State considers reasonable—

(a) make a transfer scheme by virtue of sub-paragraph (1)(a) or (c) to ensure the transfer of all rights and liabilities under the investment contract, and

(b) make provision under sub-paragraph (2) for the investment contract to be treated as a CFD for the purposes of all provision made by or by virtue of Chapter 2 of Part 2 of this Act.

(2C) But sub-paragraph (2B) does not apply to the extent that the Secretary of State considers it appropriate in all the circumstances of the case to disapply it.’.—(Michael Fallon.)