§ Mr. CatonTo ask the Secretary of State for the Environment, Transport and the Regions what plans he has to increase competition in the water industry. [100439]
§ Mr. MullinAs my right hon. Friend the Chancellor of the Exchequer said in his pre-Budget report on 9 November 1999,Official Report, columns 883–906, the Government are carrying out a comprehensive review of competition in the water industry and aim to publish a consultation document on options for reform early in the new year.
§ Mr. CatonTo ask the Secretary of State for the Environment, Transport and the Regions what assessment he has made of the impact of outsourcing activities previously performed directly by water companies on quality and service standards. [100457]
§ Mr. MullinThe Director General of Water Services publishes an annual "Report on levels of service for the water industry in England and Wales", a copy of which is in the Library of the House.
§ Mr. CatonTo ask the Secretary of State for the Environment, Transport and the Regions what allowance is made for regional variations and priorities in OFWAT's Water Companies Price Review. [100458]
§ Mr. MullinThe price review is a matter for the Director General of Water Services. The Secretary of State for Environment, Transport and the Regions and the Secretary of State for Wales issued guidance to the Director General on the environmental and quality objectives to be achieved by the water industry between 2000 and 2005. These reflected local environmental priorities, but were defined to avoid unacceptable impacts on water prices in different parts of England and Wales.
In the case of Dwr Cymru (Welsh Water) and Dee Valley Water, the Secretary of State's functions in this matter transferred to the National Assembly for Wales on 1 July 1999.
§ Mr. CatonTo ask the Secretary of State for the Environment, Transport and the Regions what information and communications with the water companies are used in the price review process and not reported in OFWAT's price determination document. [100454]
202W
§ Mr. MullinThis is a matter for the Director General of Water Services. His report "Final Determinations: Future water and sewerage charges 2000–05" includes a full account of the price review process.
§ Mr. CatonTo ask the Secretary of State for the Environment, Transport and the Regions what consideration OFWAT is required to give to(a) environmental, (b) health and safety and (c) local economic factors during a water company price review. [100453]
§ Mr. MullinThe Secretary of State and the Secretary of State for Wales issued guidance to the Director General of Water Services on the environmental and quality objectives to be achieved by the water industry in England and Wales between 2000 and 2005. This guidance was published under the title "Raising the Quality" in September 1998, and was supported by more detailed announcements of company programmes on 1 March 1999.
In the case of Dwr Cymru (Welsh Water) and Dee Valley Water, the Secretary of State's functions transferred to the National Assembly for Wales on 1 July 1999. In respect of the remaining companies, the Secretary of State confirmed the environment and quality programme on 24 November.
The Director has a statutory duty to ensure that companies can finance the proper carrying of their functions. This includes obligations enforced by the Health and Safety Executive. The handling of the price review is a matter for the Director. I understand that he received representations on a wide range of issues, including factors such as local economic considerations.