British Coal (Subsidence) (Hansard, 12 January 1989)

§ Mr. Michael Spicer

Actions taken or undertakings given by British Coal to implement fully or in part recommendations made by the Waddilove committee are set out below (references in square brackets are to recommendations in the Waddilove report):

PREDICTION AND PREVENTION

Prediction British Coal carries out detailed geological investigation where necessary [186(i)] and require their areas to give special attention to locations that are sensitive because of the possible environmental or social consequences of surface damage [186(iii)]. British Coal will also endeavour before mining begins to produce the best predictions possible, of the likely effect of subsidence damage on drainage systems in low-lying agricultural land. These predictions will serve as the basis for discussions with the farming community and water authorities on the scope for preventive and remedial work [186(iv)]. British Coal introduced additional measures in 1984 to ensure that subsidence costs are fully and consistently assessed and are included in the costing of proposed underground workings. Areas are expected to modify layouts or take prevention measures in order to reduce the likelihood of severe damage [186(v),(vi)]. 730W The corporation now normally seeks discussion with planning authorities and other interested parties on the likely environmental effects of British Coal's proposals before submitting panning applications for the development of new mines [187(ix)].

Preventive and Precautionary Work British Coal assesses systematically the scope for, and costs of, preventive measures, especially for larger buildings, when considering future mining plans. The corporation is willing to explain the scope and limitations of such measures at public meetings following the publication of the annual notice about future working [188(x)].

NOTIFICATION AND PUBLICITY

Mining Intentions British Coal now provides each planning authority in coal-mining areas with a copy of the annual press notice and a plan (revised annually) showing the areas of coal likely to be worked over the next 12 months. The corporation is willing to discuss this information with local authority associations [189(ii)]. If requested to do so by more than one interested body, British Coal will set up a technical liaison committee to discuss their plans. The corporation will also co-operate with local subsidence liaison committees established by residents [189(iii)].

Mining Inquiries Agreement has virtually been reached with the Law Society for a standard inquiry search form for use in England and Wales. In responding to the new form, the corporation will, once the new system is fully established, indicate whether there is a current claim outstanding and how many others were settled during the previous five years [191 (viii)]. The corporation and the Law Society of Scotland have agreed to draw up a standard inquiry form for use in Scotland.

THE REPAIR OF SUBSIDENCE DAMAGE British Coal operates in accordance with the Waddilove recommendation that the board's primary duty should be to repair damages and to make payment in lieu only in exceptional circumstances [192 (i), 193 (ix)]. The corporation's commitment to provide a good standard of repair in all cases already goes a long way towards meeting the recommendation that damaged property should be restored to its pre-damaged condition so far as is practicable [192 (iii)]. It is now British Coal's practice to prepare a fully costed and itemised schedule of repairs for each case of subsidence damage for which they accept liability. Claimants are able to choose who should carry out repairs to their damaged property and land [193 (iv)]. Independent adjudication is available for straightforward disagreements over the initial schedule of works and costs. Wherever practical the completed repairs will be subject to final inspection jointly with the claimant, the claimant's agent or both [193 (v)]. Where British Coal decide to buy a property because the only realistic course of action is to demolish it, they will pay the full market value of the property as if the damage for which they had accepted liability had not occurred. After demolition of the property, the site will be kept tidy to minimise dereliction. Independent adjudication will be considered where there is a dispute over the purchase price [193 (x)].

Interim Repairs Areas are required to make good damage with appropriate interim repairs if there are sufficient periods of stability between two mining operations, and will endeavour to ensure that property will not be left in a damaged state for long periods. Areas are required to send an explanatory letter to a claimant to whom a stop notice is issued indicating a likely timetable for final repairs [194 (xi)].

Temporary Accommodation British Coal seeks to ensure that temporary accommodation is both suitable and acceptable to claimants who have had to leave their homes [195 (xii)] and accept responsibility for property vacated during repairs [195 (xiii)].

Assistance to Claimants British Coal provides that any payment for specialist advice should be paid direct to claimants [196 (xv)].

SCOPE OF COMPENSATION PROVISION British Coal already exercises its discretion to reimburse claimants for reasonable expenses incurred in pursuing claims. This will be made statutory [198 (1)]. 731W British Coal will continue to treat claimants with consideration so as to minimise distress [199 (ii)]. It will consider payments for loss of home amenity to the small minority of claimants who experience exceptional inconvenience and disturbance during repairs [200 (iii)]. British Coal's Brown Book spells out the criteria governing the Board's decision to purchase property. Independent adjudication on valuation is available [201 (v)]. Discussions between British Coal and the Building Societies Association have taken place on how to deal with the losses to a society which might arise from subsidence [201 (vi)]. British Coal seeks to minimise the effects of subsidence damage on small businesses by, for example, carrying out additional interim repairs or by providing temporary alternative accommodation [202 (vii)]. British Coal is prepared to compensate for diminution in the agricultural land value of the balance of a holding which has been affected by subsidence [202 (viii)]. British Coal pays a commuted sum to public authorities to meet any increased maintenance and running costs following repairs [202 (ix)].

RESOLVING DISPUTES When British Coal writes to claimants, it always encloses the Department of Energy's leaflet on claimant's rights and its own Brown Book, both of which refer to the possibility of local independent arbitration [203 (1)]. British Coal will recommend the use of independent arbitration in appropriate cases [204 (iv)].

Contributions to Claimant's Costs In relatively minor cases, where an unsuccessful applicant to the Lands Tribunal has not acted unreasonably, British Coal will seek only nominal costs and may consider forgoing costs if it appeals from a decision of the Lands Tribunal to the Court of Appeal for the purpose of resolving a point of law of general importance [205 (vi)].

FRAMEWORK OF CONTROL, MANAGEMENT AND MONITORING The corporation has prepared a statement of its policy on repair and compensation for subsidence damage [208 (iii)]. It has also issued guidance to all areas on the circumstances in which the corporation would consider making discretionary payments [208 (iv)]. The corporation's audit committee is responsible for audit monitoring the handling by areas of subsidence claims. It is independent of the areas and reports to a corporation member [208 (v)]. British Coal has set up a computerised management information system which is beginning to build up data on trends in subsidence claims and costs. Where practicable, the corporation has incorporated historic data from the areas which will assist the corporation to monitor effectively and compare trends within the areas [209 (vii), 209 (viii)]. British Coal fully accepts the need to be as flexible as possible on the deployment of staff. It has increased staff numbers and employed numerous outside specialists [209 (ix)]. The corporation has now provided the Secretary of State with its first annual report on the administration of its repair and compensation system, and this has been placed in the Libraries of both Houses [208 (vi)].