§ Mr. MichaelTo ask the Secretary of State for the Environment, pursuant to his answer of 12 December, if he will set out the statutory requirements there are on water companies to take cognisance of the outcome of the consultation currently being undertaken by the Director General of Water Services on methods of charging.
§ Mr. BaldryThe Water Act 1989 contains a prohibition on charging by rateable values which will not take effect until the year 2000. Otherwise it is for each company to decide what method to adopt, subject to the obligations placed on it in its instrument of appointment, in particular the avoidance of undue discrimination against and undue preference for any class of customers or potential customers. I understand that the Director General of Water Services hopes to produce from the consultation process which he has initiated some guidelines and criteria which will help the water companies to formulate their future charging policies.