My Lords, I will speak also to Amendments 18, 57 and 58, relating to Clauses 1 and 4.
Amendment 57 amends new Section 123H to make it clear that a franchising scheme cannot co-exist in an area where an enhanced partnership or advanced quality partnership scheme is in operation. The amendment is intended to tidy up the Bill rather than change the policy outcome.
Advanced partnership schemes and enhanced partnership schemes operate in a deregulated market. In such a market, operators can plan bus routes and charge their own fares. Both schemes require local services to comply with certain standards but do not allow the authority to dictate what services should be provided and at what price.
Under a franchising scheme, the deregulated bus market is suspended and services can operate in the franchised area only if they are run under contract or a permit or are an interim service. In practice, therefore, the partnership arrangements would cease to have effect when a franchising scheme came into force in the same area. The amendment provides for an enhanced partnership plan, enhanced partnership scheme or advanced quality partnership scheme to be revoked or varied so that it ceases to relate to the area in which the franchising scheme is being introduced.
Amendment 58 amends new Section 123H to provide that the authority or authorities to whose area or combined area the varied plan or scheme continues to relate may vary the remainder plan or scheme as they consider appropriate. The amendment stipulates that authorities varying an enhanced partnership plan or scheme in these circumstances do not have to satisfy all the tests described in the section that deals with variation of an enhanced partnership plan or scheme. For example, they will no longer have to have regard to the desirability of varying a plan so as to include in the area to which the plan relates any part of another authority’s area. However, the authority would still need to seek the support of operators and could vary the plan or scheme only if a sufficient number of operators did not object.
Amendments 14 and 18 make consequential amendments to new Sections 113F(4) and 113M(6) respectively. The reference to “section 123H(6)” has been deleted as a consequence of Section 123H(6) being removed by Amendment 57.
The letter explaining these government amendments was sent to noble Lords on, I believe, 16 June. I beg to move.