HC Deb 01 July 1936 vol 314 cc400-1
54 and 55. Captain RAMSAY

asked the Minister of Transport (1) whether he is aware that the Grampian Electricity Supply Company and other similar companies operating in Great Britain not only charge 8d. a unit, but insist on long-term contracts; and, in view of the fact that producers of electrical power from water claim to produce this power at a cost of less than ld. per unit, will he have the matter examined with the view to deciding whether the public is being charged exorbitant rates; (2) whether he is aware that Section 17 of the Grampian Electricity Acts 1924, lays it down that current shall be supplied to the County of Angus at a reasonable rate; and, seeing that this agreement was made in return for substantial concessions in rates by the county council, will he take steps to have the present charges reduced so as to be in conformity with this agreement?

Mr. HORE-BELISHA

The Grampian Company's Act of 1922 prescribes the maximum charges which may be made by the company and also the terms and conditions under which consumers are entitled to obtain a supply. If the local authority of any district within the area or an appropriate number of consumers consider the charges excessive, provision is made.

Captain RAMSAY

May I ask my right hon. Friend, in the first place, whether he is satisfied that the county receives a supply at a suitable charge in comparison with the charge made to the General Commissioners for the grid; and, in the second place, whether he has taken any steps to inquire whether the charge of 8d. per unit is a fair addition to make, in view of the fact that the cost of production, on their own showing, is under ld. per unit?

Mr. HORE-BELISHA

My hon. and gallant Friend will bear in mind that the charge covers not only generation, but distribution over a wide area. As to whether it is too great a charge, it is not for me to decide offhand, but only upon representations in the prescribed manner made to me by local authorities or consumers, and I have had no such representations made to me.

Mr. HARDIE

Is it not a fact that when the power was given to the Grampian Company one of the conditions was that they would be able to get power at a reasonable rate, which was calculated at 4½d. or 5d.?

Mr. HORE-BELISHA

I do not know what was in the mind of Parliament in 1922. The procedure is as laid down.