Part 5: Independent System Operator and Planner Section 177: Cross-sectoral funding
The ISOP will operate across both the electricity and gas sectors and this section facilitates that work by allowing cross-sectoral funding.
	Currently the Electricity Act 1989 and Gas Act 1986 limit the extent to which the holders of a licence granted under one of these Acts can consider the interests of consumers of a holder of licences under the other Act.
	This section removes the barriers in section 7 of the 1989 Act and section 7B of the 1986 Act, so as to allow payments raised from licence holders in one sector to be paid to those in another as long as there is a benefit, or at least no detriment, to consumers in the first sector. The removal of these barriers will enable the ISOP to coordinate and ensure strategic planning across the energy sector more effectively.
	The section introduces a provision, in section 9 of each Act, to expand licence holders’ statutory duties and require them to have regard to the interests of consumers of the other energy sector where directed by their licence. Similar provision is not required for Ofgem who are already given in each Act discretion to have regard to the consumers of the other sector.