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Growth and Infrastructure Act 2013: environmental implications

Practical Law UK Legal Update 9-527-3726 (Approx. 6 pages)

Growth and Infrastructure Act 2013: environmental implications

by PLC Environment
The Growth and Infrastructure Act 2013 received Royal Assent on 25 April 2013. (Free access.)

Speedread

The Growth and Infrastructure Act 2013 received Royal Assent on 25 April 2013 and comes into force on a range of dates.
Key provisions relevant to environmental lawyers include:
  • Section 20, which provides powers to vary consents for energy infrastructure projects granted under section 36 of the Electricity Act 1989.
  • Section 21, which amends section 90 of the Town and Country Planning Act 1990 to give the Secretary of State the power to direct that planning permission is deemed to be granted where a variation under section 36 occurs. Similar provisions are made in relation to Scotland.
  • Section 26, which extends the scope of the nationally significant infrastructure regime so that the Secretary of State can direct that certain types of business and commercial projects (including large energy projects) over specified thresholds will be nationally significant infrastructure projects (NSIPs).

Background: EMR, energy infrastructure and deployment of superfast broadband networks

The Growth and Infrastructure Bill was introduced into Parliament in October 2013. One of the aims of the Bill was to encourage growth and facilitate the development of infrastructure by amending various planning and consenting processes to reduce the delays that the government says often hold up such developments (see Legal update, EMR: Ed Davey delivers important speech on electricity market reform next steps).
Amongst other things, the Bill contained provisions to:
  • Extend the scope of the nationally significant infrastructure regime so that the Secretary of State can direct that certain types of business and commercial projects (including large energy projects) over specified thresholds will be nationally significant infrastructure projects (NSIPs) (clause 21).
  • Implement the findings of the Penfold Review on the regimes for non-planning consents for property and development projects.
  • Amend section 36 of the Electricity Act 1989 to make it easier for developers to vary consent for generating projects (clauses 17-18). Section 36 consents are inflexible because, once given, a developer must build its new plant to the exact specification permitted by the consent. Developers wishing to alter the terms of a consent have to make a new section 36 application to do so. This can lead to a situation where the terms of the consent prevent construction from proceeding, even in a way that may be more efficient or environmentally beneficial.
  • Remove a legal ambiguity in the Gas Act 1986 that threatened the funding mechanism for the government's Network Innovation Competition for greater efficiency in the gas industry (clause 16).
  • Facilitate the deployment of superfast broadband networks by relaxing the rules in section 109 of the Communications Act 2003 that regulate the siting of telecoms infrastructure (clause 8). Section 109(1) of the Communications Act 2003 gives the Secretary of State power to make regulations imposing conditions and restrictions on the application of the Electronic Communications Code to network operators. In exercising this power, the Secretary of State has to have regard to a number of considerations set out in section 109(2) including "the need to protect the environment and, in particular, to conserve the natural beauty and amenity of the countryside".
For more information on:

Growth and Infrastructure Act 2013

The Growth and Infrastructure Act 2013 (GIA 2013) received Royal Assent on 25 April 2013. Section 35 specifies that the GIA is coming into force in a piecemeal manner. The earliest commencement date is the date that the Act was passed. Explanatory notes were published with the GIA 2013.
The majority of the provisions extend to England and Wales, with certain provisions extending to Scotland. The explanatory notes contain a section explaining exactly what provisions apply to each jurisdiction.
Key provisions of the GIA 2013 relevant to environmental lawyers include:
  • Section 9, which amends section 109 of the Communications Act 2003 so that the Secretary of State must take account of the need to promote economic growth in the UK when making regulations about conditions and restrictions on application of the Electronic Communications Code.
    Section 9 also provides that regulations made by the Secretary of State under section 109 will be treated as having complied with the duties to have regard to preserving the beauty of the countryside that arise under countryside preservation legislation such as the National Parks and Access to the Countryside Act 1949 and Countryside and Rights of Way Act 2000, provided that the duty to have regard to the need to protect the environment and conserve the natural beauty and amenity of the countryside in section 109(2)(b) has been complied with. This provision only applies to regulations that expire on or before 6 April 2018.
    Section 9 came into force on 25 April 2013.
  • Section 18, which repeals section 14 of the Energy Act 1976 that required developers or operators to give written notice to the Secretary of State of proposals to establish or convert electricity generating stations to be fuelled by natural gas or petroleum. This change implements one of the recommendations of the Penfold Review of non-planning consents. Section 18 will come into force on 25 June 2013.
  • Section 19, which amends the Gas Act 1986 to clarify that licences under that Act for gas transporters (that is, companies licensed to operate a gas grid) may contain conditions requiring the gas transporter to make payments to any other persons holding licences under Part 1 of that Act (that is, other gas transporters and gas interconnectors not just gas shippers or gas suppliers). This change will allow the government's proposed gas Network Innovation Competition to proceed. Section 19 came into force on 25 April 2013.
  • Section 20, which provides the Secretary of State, the Scottish Ministers and the Marine Management Organisation (MMO) with powers to vary consents for energy infrastructure projects granted under section 36 of the Electricity Act 1989. This change will allow developers wishing to apply for changes to their projects under section 36 consents to undertake only a three-month consultation on those changes, rather than submitting a completely new application as is the current case. This section is not yet in force.
  • Section 21, which amends section 90 of the Town and Country Planning Act 1990 to give the Secretary of State the power to direct that planning permission is deemed to be granted where a variation under section 36 occurs. Similar provisions are made in relation to Scotland. This section is not yet in force.
  • Section 26, which amends the scope of the planning regime for nationally significant infrastructure by substituting a new section 35 of the Planning Act 2008 and inserting a new section 35ZA.
    The substituted section 35 retains the Secretary of State's power to direct that a particular development project in the fields of energy, transport, water, waste water or waste requires development consent under the Planning Act 2008.
    It also enables the Secretary of State to direct that certain commercial and business development requires consent under the Planning Act 2008. The development must be in England or adjacent waters and be, or form part of, a prescribed business or commercial project. Consent from the Mayor of London will also be required if the development is in London. The government consulted on proposals for using this power in England in November 2012 (see Legal update, Consultations on extending the nationally significant infrastructure planning regime).
    Regulations will set out the prescribed projects but an application that includes any housing would be excluded from becoming a nationally significant infrastructure project.
    Section 35ZA contains procedures relating to directions under section 35 that were previously contained in subsections (4A)-(10) of section 35.
    Section 26 came into force on 25 April 2013.

Comment

The government says that the GIA 2013 will "kick-start urgently needed major infrastructure work that will generate thousands of new jobs and billions in new investment". Specifically, it says the GIA 2013 will:
  • Remove a regulatory barrier to a £160 million investment programme in the gas network.
  • Give developers of large scale business and commercial development the option to fast-track major projects while keeping community consultation.
  • Speed up super-fast broadband roll-out to local homes and firms, especially in rural Britain facing a "digital divide".
On the changes to facilitate the super-fast broadband roll-out, the provisions in the GIA 2013 do not go as far as the government's original proposals, which were to completely disapply the duties to have regard to conserving the beauty of the countryside in the countryside preservation legislation. This means that when the Secretary of State makes secondary legislation under section 109 of the Communications Act 2003, there will still be some room for argument about whether any applicable duties in the countryside preservation legislation have been fulfilled.
End of Document
Resource ID 9-527-3726
© 2024 Thomson Reuters. All rights reserved.
Published on 07-May-2013
Resource Type Legal update: archive
Jurisdictions
  • England
  • Wales
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