Part 5: Independent System Operator and Planner Section 178: Principal objective and general duties of Secretary of State and GEMA under Part 5
Section 178 ensures that when carrying out various functions in relation to the ISOP, the Secretary of State and Ofgem, must have regard to the principal objective and general duties, as defined in the Electricity Act 1989 and Gas Act 1986. The principal objective of the Secretary of State and Ofgem can be characterised as protecting the interests of existing and future electricity and gas consumers. General duties include promoting effective competition in the energy sector, having regard to security of supply and securing a healthy energy market.
	This practice has precedents in earlier energy legislation where new functions are given to the Secretary of State or Ofgem in relation to electricity or gas that would not otherwise be subject to the principal objective and general duties (e.g., s.190 Energy Act 2004, s.102 Energy Act 2008, s.22(9) and (10) Energy Act 2011, s.39 and 53 Energy Act 2013, s.6(12) and (13) Smart Meters Act 2018).
	Subsection (1) states that the Secretary of State must have regard to the above principal objective and general duties, when carrying-out new functions relating to the power to designate, revoke and order that an existing transmission licence becomes the ISOP's electricity system operator licence.
	Subsections (2) and (3) extends the requirement to have regard to the principal objective and general duties to the power of making changes to licences and codes and revoking licences in preparation for or in relation to the designation of the ISOP, conditions to make these modifications and Ofgem’s enforcement functions in relation to information requests to regulated persons.