§ 4.17 p.m.
§ Lord DONALDSON of KINGS-BRIDGE rose to move, That the draft Bann Reservoir Company (Northern Ireland) Order 1975, laid before the House on 7th November be approved. The noble Lord said: My Lords. I beg to move the Motion standing in my name on the Order Paper. The purpose of this order is to enable the Northern Ireland Department of the Environment to acquire by agreement the water rights and other property of the Bann Reservoir Company (Article 3), to provide for the company's being discharged from its statutory obligations (Article 3) and to enable the company to be wound up (Article 4).
§ In 1961 another Private Act, the Bann Reservoir Company (Northern Ireland) Act 1961, was passed, which enabled the company to levy a charge ("the users' rate") on persons using, consuming or employing water from the river for industrial purposes, although the company was given no power to sell water. This rate will no longer be payable if the order is approved.
1089§ Legal difficulties have complicated the acquisition, however, as the company was not empowered to wind up voluntarily. In addition, the Department of the Environment lacked sufficient statutory powers under the Water and Sewerage Services (Northern Ireland) Order 1973 to enable it to purchase the company's undertaking. Accordingly, Article 3 of the order empowers the Department to acquire, by agreement, the assets and liabilities of the Bann Reservoir Company for water sup ply purposes and enables the company to sell. Article 3 also releases the company from its obligations, under its Private Acts, to provide water for power purposes. Article 4 provides for the Company to be registered and wound up in accordance with the provisions of the Companies Act (Northern Ireland) 1960.
§ The Company was established by Private Act in 1836 to regulate the flow of water in the Upper Bann river for providing power for industrial users. For this purpose two impoundments were constructed at Lough Island Reavy and Corbet Lough, both in County Down. The use of water for this purpose by industry has now ceased except in cases of emergency. If the order is approved the Department of the Environment for Northern Ireland intends to acquire the two reservoirs to augment the public water supply.
§ The acquisition of the assets of the company has become a matter of some urgency with the emergence of a serious deficiency in water supplies, and the Department has already been obliged to abstract water for Belfast and other areas from Lough Island Reavy with the agreement of the company. If this order is approved by the House, the acquisition of Lough Island Reavy and Corbet Lough will make an important addition to the resources available for water supply to Belfast and other areas. It is the intention of the Department to continue to supply Belfast from Lough Island Reavy in the immediate future, although in the very long term Lough Island Reavy and Corbet Lough may well be used in a combined river regulation and water abstraction scheme. I commend the order to the House. My Lords, I beg to move.
§ On Question, Motion agreed to.