HC Deb 15 November 1983 vol 48 c416W
Mr. Michael Forsyth

asked the Secretary of State for Scotland what ratio of maximum demand to maximum potential output he regards as desirable in deciding whether or not to approve investment in new generating capacity by the North of Scotland Hydro-electric Board and the South of Scotland Electricity Board.

Mr. Allan Stewart

In developing capital investment proposals the objective of the Scottish electricity boards is the supply of electricity at the lowest possible cost consistent with maintaining adequate standards and with the required rate of return on new investment. Thus, even at a time of substantial over-capacity, investment in new capacity which would lead to cost savings may be justified.