§ Mr. CAMPBELLasked the Minister of Transport whether he will explain why the action of the Kingston Corporation in making the increase of charge for electricity retrospective was sanctioned by the Ministry of Transport, in view of the spirit of the statutory notice; and whether similar sanction will be granted in future?
§ Sir E. GEDDESThe application of the Corporation of Kingston-upon-Thames for an increased maximum price was first made in October, 1919, and a notice of the application was duly advertised. The Corporation, however, allowed their application to remain in abeyance, apparently, in the hope that the cost of fuel and labour would decrease and obviate the necessity for increasing their charges. In June, 1920, however, they decided that they had no alternative but to proceed with their application. In view of the period which had elapsed since October, 1919, the Corporation were required to readver-tise their application, which they did on the 23rd October, 1920. The Minister of Transport, on the advice of the Electricity Commissioners, decided to grant their application, and, having regard to the circumstances stated above and to the unsatisfactory financial posi-582W tion of the undertaking, he considered it just and reasonable that the Order should have effect as from the 30th September, 1920. It has been the practice of the Minister to avoid making Orders having retrospective effect except in special circumstances, and that policy will be continued in the future. The increase in the maximum price granted in this case was only sufficient to avoid a deficiency, in respect of the undertaking, falling on the ratepayers.
§ Mr. HOODasked the Minister of Transport whether he is aware that a number of electric light companies have applied for permission to increase their charges per unit for electric light by over 50 per cent., and that the advertisement of the notice of the application contains no information to consumers as to the grounds or merits of the application; whether in future he will see that such grounds are given so that the public may have an opportunity of considering the same and, if thought fit, opposing the application; and whether, if the application is granted, the commissioners have power to attach conditions that the mains, cables, and equipment shall be put into such a condition as will give an efficient service?
§ Sir E. GEDDESThe Ministry has received a number of applications of the nature referred to by the hon. Member. The invariable and obvious grounds of such applications are that the authorised maximum prices which the companies may charge, which in most cases were fixed prior to the outbreak of the War, are not now sufficient, having regard to the increase in wages and the high price of coal and other material. It would not be practicable to include in a public notice the whole of the detailed accounts and other data which are required for adequate consideration of such applications. The notice which the applicants are required to give contains an intimation that any person desirous of making any representations may do so. Any such representations received by the Ministry are very carefully considered, and, where desirable, a local inquiry is held. With regard to the last part of the question it is open to the Ministry, in the case of such of the Orders as are made under the Statutory Undertakings (Temporary Increase of Charges) Act, 1918, to attach such conditions as appear to be 583W just and reasonable, but it is clearly in the interests of the companies themselves to keep their works in such a state as to maintain an efficient service. The companies are required by Regulations which have been served upon them to maintain a supply of electricity sufficient for the use of all consumers, and in default are liable to penalties prescribed in the Regulations.