Schedule 9: Independent System Operator and Planner: transfers Schedule 16: Mergers of energy network enterprises Part 1: Further duties of Competition and Markets Authority to make references Paragraph 3: Insertion of Schedule 5A to the Enterprise Act 2002, Modification of Chapter 1 of Part 3
This paragraph provides modifications which should be read into certain sections in Chapter 1 of Part 3 of the Enterprise Act. Modifications, as opposed to amendments, mean that, while certain sections are not directly amended on their face, they should be read as if they have been when a merger is being considered under the energy networks special merger Regime. For example, under paragraph 4 of Schedule 5A, in section 30 on relevant customer benefit (which sets out when a benefit is to be deemed a relevant consumer benefit under the substantial lessening of competition regime) references to "lessening of competition concerned" should be read as "prejudice to the Gas and Electricity Markets Authority" when a merger is being considered under the energy networks special merger regime.
	The modifications set out in this paragraph relate to the following points: (1) General modifications; (2) Turnover test; (3) Relevant customer benefits; (4) Time limits for decisions about references; (5) Questions to be decided in relation to completed mergers; (6) Questions to be decided in relation to anticipated mergers; and (7) Duty to remedy effects of completed or anticipated mergers. These modifications are all to address the details of the energy networks special merger regime.
	Paragraphs 2 and 3 of Schedule 5A modify sections 23 and 28 of the Enterprise Act 2002 to ensure that the turnover threshold which determines which energy network enterprises are within scope of the energy networks special merger regime, only takes account of an enterprise’s turnover in Great Britain, rather than the United Kingdom. This reflects the policy position that the energy networks special merger regime will apply only to energy network enterprises that operate under the licensing regime in Great Britain.