The Secretary of State may by order specify provision that must be included in an initial obligations code or a technical obligations code about payment of contributions towards costs incurred under the copyright infringement provisions.
Any provision specified under subsection (1) must relate to payment of contributions by one or more of the following only—
copyright owners;
internet service providers;
in relation to a subscriber appeal or a further appeal by a subscriber to the First-tier Tribunal, the subscriber.
Provision specified under subsection (1) may relate to, in particular—
payment by a copyright owner of a contribution towards the costs that an internet service provider incurs;
payment by a copyright owner or internet service provider of a contribution towards the costs that OFCOM incur.
Provision specified under subsection (1) may include, in particular—
provision about costs incurred before the provision is included in an initial obligations code or a technical obligations code;
provision for payment in advance of expected costs (and for reimbursement of overpayments where the costs incurred are less than expected);
provision about how costs, expected costs or contributions must be calculated;
other provision about when and how contributions must be paid.
No order is to be made under this section unless a draft of the order has been laid before Parliament and approved by a resolution of each House.