Singapore legislation

Section 10

of District Cooling Act 2001

Section 10

Licence authorising provision of district cooling services

(1)

A person must not provide district cooling services to any service area unless the person is authorised to do so by a licence.

(2)

Every licence granted or renewed under this section must be in such form and for such period and may contain such terms and conditions as the Authority may determine.

(3)

Without limiting subsection (2), a licence may be granted to any person, class of persons or a particular person, and may include conditions requiring the licensee —

(a)

to prepare itself to deal with any public emergency;

(b)

to pay to the Authority a fee for the grant of the licence or to pay to it periodic fees for the duration of the licence, or both, of any amount that may be determined by or under the regulations or licence;

(c)

to appoint technical and financial auditors approved by the Authority;

(d)

to comply with any direction given by the Authority;

(e)

to comply with the standards and requirements stipulated in any code of practice and any other standard of performance applicable to the licensee; and

(f)

to do or not to do things that are specified in the licence or are of a description so specified.

(4)

Conditions included in a licence may contain all or any of the following:

(a)

provisions for the conditions to cease to have effect or be modified at such times, in any manner and in any circumstances that may be specified in or determined by or under the conditions;

(b)

provisions regulating the prices to be charged by the licensee including —

(i)

the fixing of prices or the rate of increase or decrease in prices;

(ii)

the fixing of a maximum price or maximum rate of increase or minimum rate of decrease in the maximum price;

(iii)

the fixing of an average price or an average rate of increase or decrease in the average price;

(iv)

the setting of price policies or principles;

(v)

the setting of prices with reference to a general price index, the cost of production, a rate of return on assets employed or any other specified factors; and

(vi)

the setting of prices with reference to the quantity, location, period, temperature of coolant, or other specified factors relevant to the provision of district cooling services;

(c)

provisions for the periodic disclosure of information, by way of an information memorandum, including —

(i)

reports on the management of the district cooling services;

(ii)

reports on asset management of the district cooling system;

(iii)

reports on price comparison of the district cooling service with the conventional air conditioning systems;

(iv)

reports on performance comparison of the district cooling services with the conventional air conditioning systems;

(v)

security measures; and

(vi)

reports on financial matters and accounts of the licensee;

(d)

provisions requiring the licensee to provide a sinking fund for asset management.

(5)

Any provision included in a licence under subsection (4)(a) has effect in addition to the provision made by this Part with respect to the modification of the conditions of a licence.

(6)

Any fee required to be paid to the Authority under subsection (3)(b) may be recovered by it in any court of competent jurisdiction as if it were a simple contract debt.

(7)

The grant and renewal of licences under this section are at the Authority’s discretion.

(8)

Any person who is aggrieved by a refusal of the Authority to grant or renew a licence may, within 14 days of the refusal, appeal to the Minister whose decision is final.

Read in full context — District Cooling Act 2001 →