§ Ms. WalleyI beg to move amendment No. 3, in page 5, line 41, leave out from 'if' to end of line 43 and insert—
I shall attempt to be as brief as I possibly can, to speed up the proceedings.
- '(a) the road to which the order relates consists of or includes a major crossing to which there is no reasonably convenient alternative, or
- (b) the highway authority and concessionaire agree that it should do so.'.
We believe that this is a flexible amendment that deals with meeting transport needs. It moves away from the market forces that the Government are so concerned about. Only through clause 8 is it possible to regulate cases that apply to major crossings. The amendment would change that by allowing tolls to be regulated, but only where the highway authority and the concessionaire agreed that the regulation would be appropriate. The matter was discussed in Committee and the Government thought that this was a wrecking amendment, but that is not so. Perhaps some examples from the west midlands will show the importance of further regulation being incorporated in the Bill.
I should like to quote from a letter sent by the secretary of the west midlands planning and transportation sub-committee to the Department of Transport. The letter expresses concern about the proposal that the western orbital route and the Birmingham northern relief road should be developed as concession roads. The subcommittee contains representatives of the seven metropolitan district councils in the west midlands. The letter said that the tolling of the two roads was of great concern to the west midlands conurbation as a whole. I know that the Minister is aware of that. The letter states:
It is likely that traffic volume on the M5 and M6 through the conurbation will not be significantly reduced as drivers will continue to use the free routes unless there is a significant benefit to them.The Department replied in a letter dated 24 April which states:You question the benefits that a tolled road would offer by way of relief to the M5 and M6. In order to establish a viable business the operator of a tolled road would have to attract a substantial number of road users by means of a competitive toll.In that context, the Department was looking at market forces that would encourage the concessionaire to build the road in the first place rather than at the whole issue of transport needs, which the amendment addresses. When transport needs that a road is intended to meet involve taking traffic away from an existing route, it is essential for the highway authority to be able to ensure that the toll is set at a level that will achieve that objective. That is why we have tabled the amendment.The amendment would allow tolls to be regulated only where agreement had been reached between the highway authority and the concessionaire. Circumstances may emerge in which a prospective concessionaire proposes a toll road which the highway authority is prepared to accept, provided that the level of the toll can be regulated. Rather than back out completely, the concessionaire may be prepared to accept that condition—subject, of course, to the rules and regulations being agreed.
The Bill does not allow for such an agreement, but the amendment would provide some flexibility and, in 992 appropriate circumstances, will enable highway authorities to take advantage of private sector finance while at the same time protecting the interests of the road user through toll regulations.
I urge the Minister not to dismiss our amendment by calling it a wrecking amendment, but to agree that in some circumstances it might be highly pragmatic to go beyond the tight constraints of clause 8 and consider regulation where there was agreement between the parties concerned.
§ Mr. FreemanIn some circumstances, the concessionaires and the highway authority will want to agree on regulating tolls, and there is nothing in the Bill to prevent it. The hon. Lady does not believe in toll roads; for her it is a hypothetical problem, because she will never be in a position to negotiate with concessionaires. We strongly believe in toll roads and think that the Birmingham northern relief road and the western orbital route will bring great benefits to the west midlands. I hope that my right hon. and learned Friend the Secretary of State for Transport will shortly be able to make a statement about a further stage in the process of bringing the western orbital route to fruition.
The Government do not see a case for regulating the tolls on either of those two roads. They are not monopolies, and there will be public alternatives. There is a case for regulation over estuarial crossings on which there is a monopoly, and that is written into the Bill. We do not intend to enter into any agreement with any concessionaires to regulate or limit the tolls on toll roads over which the Secretary of State for Transport has a control. However, there is nothing in the Bill to prevent others from doing so. I hope that that reassures the hon. Lady.
§ Ms. WalleyI am not as reassured as the Minister might think. However, I beg to ask leave to withdraw the amendment.
§ Amendment, by leave, withdrawn.