§ Mr. Nabarro
asked the Minister of Fuel and Power whether he will publish in the OFFICIAL REPORT the general principles of the proposals with regard to standardisation of electricity tariffs approved by his predecessor in 1951.
§ Mr. Geoffrey Lloyd
The general principles for the promotion of the standardisation and simplification of methods of charge which were recommended by a Committee of the electricity boards and received the general approval of my predecessor last year were as follows:—
(1) Domestic tariffs.—In each area the number of domestic tariffs should be reduced to not more than two consisting of—
- (a) a two-part tariff with an alternative flat rate, or
- (b) a block tariff, or
- (c) both a two-part and a block tariff.
It was recommended that the basis for assessing the fixed charge of the two-part tariff or the size of the initial block in the block tariff should be the size of premises determined on the basis either of number of rooms or floor area.
(2) Commercial tariff.—In each area two commercial tariffs should be available consisting of—
- (a) a block tariff for smaller consumers, the size of the initial block being based either on assessed demand or floor area, and
- (b) a two-part tariff for larger consumers consisting of a maximum demand charge and a unit charge which would be subject to adjustment with the cost of fuel.
(3) Industrial tarills.—In each area two main industrial tariffs should be available similar to those recommended for the commercial consumer. It was recognised, however, that the variations in the circumstances of industrial supply would still necessitate a considerable number of consumers being supplied under special agreements.
(4) Farm tariffs.—The form of tariff should be the same as that adopted for the domestic tariff in the area, either a two-part or block tariff as the case may be. For supplies to the farmhouse, the basis of assessment of the fixed charge or the size of the initial block should be the same as for domestic dwellings, i.e., the number of rooms or floor area. For supplies for farming purposes, the basis of assessment should be either assessed demand or floor area.
(5) Off Peak Supplies.—It was recommended that commercial and industrial consumers supplied on terms incorporating a maximum demand charge should be given a concession in that charge (under special agreement) in respect of excess demands taken by the consumer at night time (during hours specified by each Board according to local circumstances) over and above the day-time demand. It was also recommended that special terms under individual agreements should be offered where appropriate to commercial and industrial consumers for supplies taken wholly during off peak periods.