HC Deb 28 July 2000 vol 354 cc1099-100W
Mr. Rendel

To ask the Secretary of State for Trade and Industry what compensation is available, and from which company, to those residents of Lambourn, Hungerford, and the surrounding areas whose gas supplies were cut off in late March and the first week of April this year. [133441]

Mrs. Liddell

Under the Network Code, if the major public gas transporter, Transco, is responsible for an interruption of gas supply to domestic gas consumers, it compensates domestic households at a standard rate of £20 per day if the interruption exceeds 24 hours. If, as in this case, the gas supply is interrupted because of damage to the gas main caused by a third party, Transco declares force majeure, which means it is under no obligation to pay compensation. If the third party refuses to accept liability, consumers are obliged to wait until any legal dispute between Transco and that company has been resolved. It is for the company concerned to consider whether, while liability is being established, it should itself make an ex gratia, interim payment to residents. Where residents have suffered loss or damage as a result of an interruption to supply, it is also open to them to seek payment from their own insurers.