Onshore petroleum licensing

Wales Bill – in the House of Commons at 7:00 pm on 11th July 2016.

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Photo of John Bercow John Bercow Chair, Speaker's Committee for the Independent Parliamentary Standards Authority, Chair, Speaker's Committee on the Electoral Commission, Speaker of the House of Commons, Speaker of the House of Commons, Chair, Speaker's Committee for the Independent Parliamentary Standards Authority, Chair, Speaker's Committee for the Independent Parliamentary Standards Authority, Chair, Speaker's Committee for the Independent Parliamentary Standards Authority, Chair, Speaker's Committee on the Electoral Commission

With this it will be convenient to discuss the following:

Clauses 23 to 27 stand part.

Amendment 74, in clause 36, page 29, line 17, leave out from “wind” to end of line 18.

This amendment removes the 350 megawatts limit on the Welsh Government’s legislative competence in the field of energy.

Amendment 75, page 29, line 21, leave out from “zone” to end of line 22.

See amendment 74.

Amendment 76, page 30, line 2, leave out paragraph (c).

This amendment is consequential on amendments 74 and 75.

Amendment 77, page 30, line 16, leave out from “waters” to end of line 21.

This amendment is consequential on amendments 74 and 75.

Amendment 78, page 30, line 37, leave out from “waters” to end of line 39.

This amendment is consequential on amendments 74 and 75.

Amendment 79, page 30, line 40, leave out sub-paragraph (a)(ii).

This amendment is consequential on amendments 74 and 75.

Amendment 80, page 30, line 47, leave out from “waters” to end of line 48.

This amendment is consequential on amendments 74 and 75.

Clause stand part.

Clause 37 stand part.

Government amendments 47 to 49.

Clause 38 stand part.

Amendment 158, in clause 39, page 32, line 23, leave out “or (4A)” and insert “to (4D)”.

See amendment 160.

Amendment 159, page 32, line 27, at beginning insert

“subject to subsections (4B) to (4D),”.

See amendment 160.

Amendment 160, page 32, line 31, at end insert—

“(4B) Where Welsh Ministers are minded to grant planning consent for the construction or extension of a station generating electricity from wind which would have a capacity greater than 50 megawatts, they must not determine the application unless—

(a) they have sent to the Secretary of State

(i) a copy of any representations made to them in respect of the application;

(ii) a copy of any report on the application prepared by an officer of the Welsh Government;

(iii) a statement of the decision they propose to make; and

(iv) where they propose to grant consent, a statement of any conditions they propose to impose and a draft of any planning obligation they propose to enter into and details of any proposed planning contribution; and

(b) either—

(i) a period of 14 days has elapsed beginning with the date notified in writing by the Secretary of State to Welsh Ministers as the date on which he received the documents referred to in paragraph (a); or

(ii) the Secretary of State has notified Welsh Ministers in writing that he is content for them to determine the application in accordance with the statement referred to in sub-paragraph (a)(iii) and, if applicable, the matters referred to in sub-paragraph (a)(iv).

(4C) Within the period of 14 days set out in paragraph (4B)(b)(i) the Secretary of State may direct Welsh Ministers empowered to determine the application for the construction or extension of a station generating electricity from wind which would have a capacity greater than 50 megawatts—

(a) to withhold consent for a further period up to six months;

(b) to provide further information about the application; and

(c) where he makes a direction under paragraph (4C)(a) within the period specified in the direction to direct them to—

(i) grant consent subject, if necessary, to the conditions set out at paragraph (4B)(a)(iv); or

(ii) refuse consent.

(4D) The Secretary of State may give a direction to Welsh Ministers that applications for consent for the construction or extension of stations generating electricity from wind which would have a capacity less than 51 megawatts must be determined by local planning authorities and must not be called in or determined by Welsh Ministers.”

Clause 39 would devolve powers for onshore wind development approval to the Welsh Assembly. This amendment empowers the Secretary of State to be notified and veto projects considered a Nationally Significant Infrastructure Project (NSIP). The Secretary of State would be given two weeks to inform Welsh Ministers that he wished to consider a project and he would have up to six months to direct refusal of the application. The amendment also empowers the Secretary of State to require Welsh Ministers to devolve approval for projects not considered a NSIP to local council level.

Clause stand part.

Clauses 40 to 43 stand part.

Amendment 81, in clause 44, page 34, leave out line 37 to line 5 on page 35 and insert—

“Omit sections 114 and 152 of the Government of Wales Act 2006.”

This amendment removes the power of the Secretary of State to veto any Welsh legislation or measures that might have a serious adverse impact on water supply or quality in England.

Amendment 125, in clause 44, page 34, line 38, leave out from “(1),” to end of line 40 and insert “omit paragraph (b).”

This amendment removes both the extension of the power in section 114 of the Government of Wales Act 2006 that would be introduced by clause 44(1) and the power in section 114 to block Assembly Bills in respect of water matters.

Amendment 126, page 34, line 41, leave out subsection (2) and insert—

‘( ) Omit section 152 of the Government of Wales Act 2006 (intervention in case of functions relating to water etc).”

This amendment removes both the extension of the power in section 152 of the Government of Wales Act 2006 that would be introduced by clause 44(2) and the power in section 152 of the Government of Wales Act 2006 to intervene in the exercise of devolved functions in respect of water matters.

Clause stand part.

Clause 45 stand part.

Amendment 130, in clause 46, page 35, line 33, leave out “consult” and insert “obtain the consent of”.

Clause 46 would require the Secretary of State to consult the Welsh Ministers before establishing or amending a renewable energy scheme as it relates to Wales. This amendment would require the Secretary of State to obtain the consent of the Welsh Ministers instead.

Amendment 132, leave out lines 1 to 3.

New section 148A(3) of the Government of Wales Act 2006 (as inserted by Clause 46) provides an exception to the consultation requirement for renewable energy schemes in respect of any levy in connection with such a scheme. This amendment is partly consequential upon amendment 130, but it would also mean that there would be a requirement for the Secretary of State to obtain the consent of the Welsh Ministers for any levy in connection with a renewable energy scheme as it relates to Wales.

Amendment 131, page 36, line 17, leave out subsection (2).

This amendment is consequential upon amendment 130.

Clause stand part.

Clauses 46 to 50 stand part.

Amendment 144, in clause 51, page 39, line 2, at end insert—

“( ) If a statutory instrument containing regulations under subsection (2) includes provision within devolved competence or provision modifying a devolution enactment, the Secretary of State must send a copy of the instrument or, if subsection (8A) applies, a draft of the instrument to the First Minister for Wales and the First Minister must lay it before the Assembly.”

This amendment and amendments 145, 146 and 147 are intended to apply appropriate Assembly procedures to regulations which make provision within the Assembly’s competence or which adjust the Welsh devolution settlement by modifying the Government of Wales Act 2006 or the Wales Act 2014 and provide for regulations containing provisions of this kind that amend primary legislation to be subject to an affirmative Assembly procedure, and for regulations containing provisions of the same kind which modify subordinate legislation to be subject to a negative Assembly procedure.

Amendment 147, page 39, line 2, at end insert—

“( ) In this section ‘devolution enactment’ means a provision contained in—

(a) the Government of Wales Act 2006 or an instrument made under or having effect by virtue of that Act;

(b) the Wales Act 2014 or an instrument made under or having effect by virtue of that Act.

( ) For the purposes of this section—

(a) ‘modifying’ includes amending, repealing and revoking;

(b) ‘within devolved competence’ is to be read in accordance with subsections (7) and (8) of section 17, but no account is to be taken of the requirement to consult the appropriate Minister in paragraph 11(2) of Schedule 7B.”

See the statement for amendment 144.

Amendment 150, page 39, line 4, leave out “primary legislation” and insert “an Act of Parliament”.

The amendment introduces separate provisions for the use of the power in clause 51 in relation to an Act of Parliament.

Amendment 82, page 39, line 6, after “Parliament” insert

“and the National Assembly for Wales.”

This amendment ensures that when exercising the power to amend, repeal, revoke or modify any Acts or Measures of the National Assembly for Wales, the Secretary must seek the permission of the National Assembly, as well as both Houses of Parliament.

Amendment 145, page 39, line 6, at end insert—

“(6A) A statutory instrument containing regulations under subsection (2) that includes—

(a) provision within devolved competence modifying any provision of primary legislation, or

(b) provision modifying any devolution enactment in primary legislation, may not be made unless a draft of the instrument has been laid before and approved by a resolution of the Assembly.”

See the statement for amendment 144.

Amendment 151, page 39, line 6, at end insert—

“(6A) A statutory instrument containing regulations under subsection (2) that includes provision amending or repealing any provision of a Measure or Act of the National Assembly for Wales may not be made unless a draft of the instrument has been laid before and approved by a resolution of each House of Parliament and the Assembly.”

The amendment provides that where the Secretary of State uses the power in clause 51 to make regulations that amend or repeal an Assembly Act or Assembly Measure, then the regulations must be approved by the Assembly and each House of Parliament.

Amendment 152, page 39, line 7, at beginning insert “Subject to subsection (7A),”.

The amendment is linked to the provision that where the Secretary of State uses the power in clause 51 to make regulations that amend or revoke subordinate legislation made by the Welsh Ministers or the Assembly, the regulations would be subject to annulment by the Assembly and each House of Parliament.

Amendment 146, page 39, line 9, leave out

“, is subject to annulment in pursuance of a resolution of either House of Parliament” and insert

“or the Assembly, is subject to annulment in pursuance of a resolution of—

(a) either House of Parliament, and

(b) if it includes provision that would be within devolved competence or provision modifying a devolution enactment, the Assembly.”

See the statement for amendment 144.

Amendment 153, page 39, line 10, at end insert—

“(7A) A statutory instrument containing regulations under subsection (2) that includes provision amending or revoking subordinate legislation made by—

(a) the Welsh Ministers, or

(b) the National Assembly for Wales as constituted by the Government of Wales Act 1998, if made without a draft having been approved by a resolution of each House of Parliament and the Assembly, is subject to annulment in pursuance of a resolution of either House of Parliament or the Assembly.”

The amendment provides that where the Secretary of State uses the power in clause 51 to make regulations that amend or revoke subordinate legislation made by the Welsh Ministers or the Assembly, the regulations would be subject to annulment by the Assembly and each House of Parliament.

Amendment 154, page 39, line 11, leave out subsection (8).

The amendment removes the definition of “primary legislation”.

Clause stand part.

That schedule 5 be the Fifth schedule to the Bill.

Clause 52 stand part.

Government amendments 59 and 60.

That schedule 6 be the Sixth schedule to the Bill.

Government amendments 50 to 52.

Amendment 12, in clause 53, page 40, line 8, at end insert—

‘(4) Section 16(6) comes into force on the day appointed by the Treasury by order under section 14(2) of the Wales Act 2014 for the coming into force of sections 8 and 9 of that Act.”

The new limits proposed by New Clause 6 on borrowing by the Welsh Ministers are calculated by reference to the financial consequences of commencing the income tax provisions of the Wales Act 2014. This provision ensures that the new borrowing limits come into effect at the same time as commencement of the income tax provisions.

Clause stand part.

Clause 54 stand part.

New clause 4—Assignment of VAT

“(1) The Government of Wales act 2006 is amended as follows.

(2) In section 117 (Welsh Consolidated Fund), after subsection (2) insert—

‘(2A) The Secretary of State shall in accordance with section 64A pay into the Fund out of money provided by Parliament any amounts payable under that section.’

(3) After that section insert—

‘117A Assignment of VAT

(1) Where there is an agreement between the Treasury and the Welsh Ministers for identifying an amount agreed to represent the standard rate VAT attributable to Wales for any period (“the agreed standard rate amount”), the amount described in subsection (3) is payable under this section in respect of that period.

(2) Where there is an agreement between the Treasury and the Welsh Ministers for identifying an amount agreed to represent the reduced rate VAT attributable to Wales for that period (“the agreed reduced rate amount”), the amount described in subsection (4) is payable under this section in respect of that period.

(3) The amount payable in accordance with subsection (1) is the amount obtained by multiplying the agreed standard rate amount by—

10

SR where SR is the number of percentage points in the rate at which value added tax is charged under section 2(1) of the Value Added Tax Act 1994 for the period.

(4) The amount payable in accordance with subsection (2) is the amount obtained by multiplying the agreed reduced rate amount by—

2.5

RR where RR is the number of percentage points in the rate at which value added tax is charged under section 29A(1) of the Value Added Tax Act 1994 for the period.

(5) The payment of those amounts under section 64(2A) is to be made in accordance with any agreement between the Treasury and the Welsh Ministers as to the time of the payment or otherwise.’

(4) The Commissioners for Revenue and Customs Act 2005 is amended as follows.

(5) In subsection (2) of section 18 (confidentiality: exceptions) omit ‘or’ after paragraph (j), and after paragraph (k) insert ‘, or

(l) which is made in connection with (or with anything done with a view to) the making or implementation of an agreement referred to in section 117A(1) or (2) of the Government of Wales Act 2006 (assignment of VAT).’

(6) After that subsection insert—

‘(2B) Information disclosed in reliance on subsection (2)(l) may not be further disclosed without the consent of the Commissioners (which may be general or specific).’

(7) In section 19 (wrongful disclosure) in subsections (1) and (8) after ‘18(1) or (2A)’ insert ‘or (2B).’”

This new clause would allow the payment into the Welsh Consolidated Fund of half the receipts of Value Added Tax raised in Wales, on the lines of section 16 of the Scotland Act 2016.

New clause 5—Tax on carriage of passengers by air—

“(1) In Part 4A of the Government of Wales Act 2006, after Chapter 4 insert—