§ 9. Mr. Moateasked the Secretary of State for Energy what representations have been made to him concerning the levels of standing charges charged by the electricity and gas industries.
§ 10. Mr. Greenwayasked the Secretary of State for Energy what response he has had to his proposal that standing charges should represent no more than half the total sum charged to the domestic consumer by electricity and gas boards.
§ 17. Mr. Aitkenasked the Secretary of State for Energy if he will publish the independent reviews of domestic gas and electricity standing charges.
§ 18. Mr. Teddy Taylorasked the Secretary of State for Energy what response he has received from the gas and electricity industries to his proposals on standing charges.
§ 19. Mr. Warrenasked the Secretary of State for Energy whether the electricity and gas industries have yet responded to his request that they should limit standing charges for small consumers of energy.
§ 22. Mr. Nelsonasked the Secretary of State for Energy whether any progress has been made in revising the structure of standing charges for small consumers of gas and electricity.
§ Mr. LawsonThe nationalised gas and electricity industries are still considering my proposal that standing charges should represent no more than 50 per cent. of a domestic consumer's bill. Representations from individual members of the public are overwhelmingly in favour of the proposal. Meanwhile, the independent review of their standing charges commissioned by the industries is making good progress and I would expect the results to be published in the new year.
§ Mr. SpeakerOrder. As the six hon. Members who tabled the questions that are being answered together are all Government Members, I propose to vary my usual custom and call an hon. Member from each side of the House in turn. Therefore, some hon. Members may have to wait.
§ Mr. MoateMy right hon. Friend's answer confirms that there is extensive and widespread support for his efforts, but does he accept that there is an impression that the industries are dragging their feet? Is he getting proper co-operation, or is he being thwarted in his efforts?
§ Mr. LawsonThere are some people in the industries who are not fully aware that this is a matter of elementary commercial common sense. There is a small but highly aggrieved sector of the population who feel strongly on this matter and the scheme would alleviate their anxiety. Over one-third of the letters that my Department receives on standing charges are on that relatively narrow point. However, the industries do have a fair point when they say that they would like to see the results of the independent reviews that I have mentioned before they come to a conclusion.
§ Mr. RowlandsDoes that answer mean that we are not to have the 50 per cent. concession before the completion of the review for which the Minister promised to press the industries last week during questions on energy? Is he aware of the typical case of a constituent of mine, Mrs. Rees in Merthyr—[Interruption] who received a gas bill for £10, of which £9 was the standing charge? When does the right hon. Gentleman expect to have an answer to the 50 per cent. proposal that he has put forward? Will it be before Christmas or after?
§ Mr. LawsonThe moving example that the hon. Gentleman has just adduced will assist in the process that I am seeking to push along.
§ Mr. GreenwayWhen, finally, we hope, the industries agree to my right hon. Friend's excellent suggestion, will he endeavour to have it implemented from now? In particular, will he do all that he can to ensure that old-age pensioners eventually get full relief front standing charges?
§ Mr. LawsonMy hon. Friend will be aware that the industries are responsible for their tariffs and I have no power to direct them. I have called upon them to make a modest change in their tariffs and I hope that in due time they will do so. To give all pensioners full relief would be a costly exercise and I do not think that the extra cost that would result to other consumers could be justified.
§ Mr. John SmithThe Secretary of State complains that he has no power to direct the industries. He will be aware that there is an Energy Bill before the House at the moment. Why does he not table an amendment to give himself such powers?
§ Mr. LawsonThe Energy Bill relates to the electricity supply industry, whereas this matter relates to electricity and gas.
§ Mr. Aitkenrose—
§ Mr. SpeakerI shall call the hon. Gentleman after I have called other hon. Members whose questions are being answered.
§ Mr. WarrenWhile I welcome my right hon. Friend's initiative, may I ask him to put strong pressure on the boards to respond, as discussions on standing charges have been going on for at least two years now? Will his Department try to agree, particularly with the gas and electricity boards, the nature of the standing charge calculation, on which there appear to be substantial errors at present?
§ Mr. LawsonI hope that the independent reviews that have been put in train by the industries at my request will settle the problem once and for all and that there will be no more errors, as my hon. Friend calls them. He is right to say that the standing charges have been a matter of concern for two years, if not longer, but the 50–50 proposal—if I may call it that—was put forward as recently as October this year.
§ Mr. PenhaligonIf the Minister's proposals were implemented, what percentage of the customers of the electricity and gas boards would be helped for at least one-quarter of the year?
§ Mr. LawsonAbout 1 million electricity consumers and about 1 million gas consumers would be assisted by the proposals.
§ Mr. AitkenIn view of the widespread concern among small consumers, particularly the elderly, will my right hon. Friend give some idea of how he attempts to define a "small consumer"?
§ Mr. LawsonYes. The category can be simply defined by quoting people such as Mrs. Rees—I am not sure whether she is any relation of the right hon. Member for Leeds, South (Mr. Rees)—whose quarterly standing charge is greater than the charge for the units consumed.