HC Deb 16 December 1977 vol 941 cc528-9W
Mr. Michael Marshall

asked the Secretary of State for Energy what were the financial targets set for the electricity industry in England and Wales, Electricity Council, Central Electricity Generating Board and area boards, in terms of net assets over the last 10 years; and what were the returns on those targets after interest payments, depreciation and tax have been allowed for.

Mr. Benn

The financial objectives of the CEGB and area electricity boards in England and Wales were expressed as a return on net assets before interest and prior to 1969–70 before depreciation also. The achieved returns are in the same terms. No objective was set for the Electricity Council and none for the boards covering the years since 1973–74. The objectives and achieved returns for the earlier years were as follows:

Financial objective (Percentage) Achieved return (Percentage)
1967–68 12.4 11.7
1968–69 12.3* 13.0
1969–70 6.4
1970–71 4.1‡
1971–72 7.0 5.1‡
1972–73 per annum† 5.8‡
1973–74 3.0‡
* 12.4 per cent. for the majority of boards; five area boards had slightly lower objectives.
† The objective for the South Wales Board applied only to the three years 1971–72—1973–74.
‡ These figures take no account of compensation paid by the Government to the boards for the effect of price restraint.

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