(1) The Electricity Commissioners may by the Order establishing a joint electricity authority, or after the establishment of a joint electricity authority by an Order made on the application of that authority, exclude from the area of supply of any power company, subject to such terms, conditions, and reservations as the Electricity Commisisoners may think fit—
- (a) any part of that area in which any right of the power company to supply electricity is subject. to the absolute veto of some other authorised undertaker, and where the Order provides for or is made conditional on the transfer to the joint electricity authority of the generating station from which a supply of electricity is given to the part of the area in question;
- (b) any part of that area which at the time of the local inquiry on the scheme to which the Order establishing the joint electricity authority gives effect, or, as the case may he, at the time of the application for the Order, is not being supplied by the power company, and which it appears to the Electricity Commissioners could be better served by the joint electricity authority themselves or by that authority acting through any authorised undertakers; and
- (c) with the consent of the power company any other part of the area of supply of the power company;
and in any such case the Order may confer on the power company, subject to such conditions as the Electricity Commissioners may prescribe, power to supply electricity for all purposes in any other part of their area of supply which does not at the time form part of the area of supply of any authorised distributors.