§ 32. Mr. MacdonaldTo ask the Secretary of State for Energy if he will estimate the total cost of publicity, advertising and public relations for the electricity industry and its privatisation up to the date of the sell-off.
§ Mr. Michael SpicerExpenditure by the industry is a matter for the industry. Total costs will depend on many factors which have not yet been decided, such as marketing strategies in respect of the various successor companies, and cannot therefore be accurately forecast at this stage.
§ Mr. SpellerTo ask the Secretary of State for Energy when he proposes to publish information on proposed tariff structures, reviews and methods of payment in advance of the proposed privatisation of the electricity supply industry.
§ Mr. Michael SpicerWe are taking provision in the Electricity Bill to allow existing tariffs to continue immediately after the vesting of the area boards in their successor companies. Subsequent decisions on tariff structures and reviews will be made by these successor companies, the public electricity suppliers (PESs) subject to the relevant legislative and regulatory requirements. Clause 17 of the Electricity Bill deals with how tariffs should be framed and published; while the draft PES licence, published on 10 January 1989, contains provisions for price regulation and review.
Under condition 15 of the draft PES licence, suppliers will have to prepare, within three months of the licence coming into force, a code of practice on the payment of bills. These codes of practice will be prepared following consultation with the consumers' committee and will be submitted to the Director General of Electricity Supply for approval.