Skip to content

Section 10

Suspension or revocation of the licence

of Gas Supply Enactment 2023

State EnactmentIn forceProvision 10 of 80
Section 10
(1)

The Commission may suspend or revoke a licence under any of the following circumstances:

(a)

the licensee has contravened any provisions of this Enactment;

(b)

the licensee has failed to comply with any of the conditions of the licence;

(c)

the licensee has default of payment of any moneys payable under this

Enactment;

(d)

the licensee has ceased to construct or operate the pipeline or piping system which he was authorized to do under the licence;

(e)

the licensee has failed or refused to carry out the activity stipulated in the licence;

(f)

the licensee had improperly or illegally obtained the licence;

(g)

the licensee has been convicted of an offence under this Enactment;

(h)

a receiver, receiver and manager, provisional liquidator or like official has been appointed over the whole or substantial part of the licensee’s assets and such appointment is not revoked or annulled within a period of sixty days from the date of appointment; or

15

(i)

there has been any act or default on the part of the licensee or there has been a change of circumstances such that the licensee would no longer be entitled to be granted a licence under this Enactment.

(2)

Before the Commission makes a decision under subsection (1), the Commission shall give the licensee —

(a)

a written notice of its intention to suspend the licence; and

(b)

an opportunity to make written representations within a period specified in the written notice which shall not be less than fourteen days.

(3)

After the expiry of the period specified in the notice, the Commission shall, after considering the written representations made by the licensee under subsection (2), if any, decide whether to suspend the licence or not.

(4)

The Commission shall give the licensee a written notice of its decision under subsection

(3)

as soon as practicable.

(5)

Upon the suspension of a licence, the Commission may —

(a)

require the licensee to rectify any breach of any condition of the licence or to pay any moneys accrued due thereunder within a certain specified period; and

(b)

in the interest of the public, authorize another person to continue operating the pipeline or piping system if the pipeline or piping system or part thereof has been in operation for the period of suspension.

(6)

If the Commission is satisfied that the licensee has complied with the requirement under paragraph (5)(a) the suspension may be lifted and the licensee may be allowed to continue the construction or operation of the pipeline or piping system, as the case may be.

(7)

If the licensee fails to rectify the breach as required under paragraph 5(a), the Commission may revoke the licence.

(8)

Upon revocation of a licence, the Commission may —

(a)

require the licensee, within a reasonable period of time, to remove his pipeline or piping system or part thereof at the licensee’s costs;

(b)

acquire the pipeline or piping system or part thereof on payment of adequate compensation to the licensee, and appoint another licensee to complete the construction of the pipeline or piping system or delivery of gas through the acquired pipeline or piping system, as the case may be; or

(c)

authorize another licensee, on payment of adequate compensation, to acquire the pipeline or piping system or part thereof and complete its construction or delivery of gas through the acquired pipeline or piping system, as the case may be.

(9)

A licensee whose licence is suspended or revoked shall not be entitled to any compensation for any loss caused to him by the suspension or revocation of a licence under this Enactment.

16

(10)

If a licence is revoked under this section the security shall be forfeited as the Comission deems fit.