HC Deb 16 March 1988 vol 129 cc592-3W
Mr. Oppenheim

To ask the Secretary of State for Energy what representations he has received regarding the monopolistic position of electricity distribution hoards; and if he will make a statement.

Mr. Michael Spicer

My right hon. Friend and I have received representations on numerous aspects of electricity distribution. As my right hon. Friend the Secretary of State told the House on 25 February 1988, the distribution of electricity is largely a natural monopoly, in which it would not be economic to duplicate resources.

However, it will be possible for adjacent distribution companies to compete with one another to supply large users near their common borders, and there will be scope for large users to buy their supplies direct from generators. There is, in addition, substantial room for competition in the generation of electricity by power stations.