HC Deb 05 June 1997 vol 295 cc233-4W
Mr. David Marshall

To ask the Secretary of State for Scotland what plans he has for the future of the water quangos in Scotland; and if he will make a statement. [579]

Mr. Dewar

[holding answer 22 May 1997]: The Government is committed to returning the Scottish water authorities to local democratic control. A key consideration in taking this forward will be to ensure, in the light of our Manifesto commitment, that we fully observe both the letter and the spirit of the Nolan Committee's recommended procedures for making appointments to public bodies. We shall introduce change at a sensible pace which does not destabilise the recently constituted water authorities.

I have held discussions with the three current water authority chairmen. Each one of them has told me that he is willing to work closely with the new Government to achieve our objectives. I have therefore told them that I am happy for them to continue to serve until the end of 1997, and that I shall then re-examine the position.

The terms of appointment of roughly half of the present members of the water authorities come to an end on 30 June 1997. I intend, as an immediate first step, to advertise in accordance with the Nolan procedures for new members. We shall then consider those democratically elected local representatives who apply, as well as suitable candidates from other fields, including those current members whose appointments are coming to an end. Overall, I envisage a significant shift in the balance of board membership. The advertisement will make clear that applicants may also be considered for positions as chairmen.

To ensure the water authorities are able to operate effectively in the interim period while the Nolan procedures are being carried through, we shall invite members due to leave at the end of 30 June to accept re-appointment for a further six months to the end of the calendar year. The new appointments will then run from 1 January 1998.

I have asked my officials to conduct a review during this interim six month period of the further steps I might take to strengthen local democratic control. The review will consider a wide range of options for the water authorities. It will also consider any possible implications for the Scottish Water and Sewerage Customers Council.

I have asked my officials to consult extensively with all interested parties, including COSLA, the water authorities themselves, and the Scottish Water and Sewerage Customers Council. I have asked them to report to me in November.