Regulation 17 of the Principal Regulations is amended by omitting subregulation (2) and substituting the following subregulation:

(2)  Regulation 15 does not apply to a motor vehicle being used at a racing event in an off-street area, or to a motor vessel being used at an aquatic event, if –

(a) the conduct of the racing event or aquatic event is not a level 2 activity; and

(b) a permit has been issued under Part 4 in respect of the racing event or aquatic event.