HC Deb 14 July 1980 vol 988 cc452-3W
Mr. Adley

asked the Secretary of State for Energy by how much a 1 per cent. increase in miners' pay will increase the price of electricity to domestic consumers; and if he will issue a general directive to the electricity supply industry which will require area boards to increase their prices within 24 hours of the implementation of an increase in miners' pay to reflect the consequent increase in cost in the supply the receive.

Mr. Norman Lamont

Electricity prices would need to rise on average by one-sixth of 1 per cent. to recover the cost of a 1 per cent increase in miners' pay if this increase were reflected directly in coal prices and in the absence of any off-setting cost reductions by either the coal or electricity supply industries. However, responsibility for setting tariffs rests with the electricity boards and a general directive in these circumstances would not be appropriate.

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