Public Utility Transfers and Water Charges Act 1988

4 Metering trials schemes

(1) This section applies to any charges scheme made by any water undertakers under section 31 of the 1973 Act which—

(a) contains a statement that it is made for the purpose of enabling the undertakers to conduct a trial of fixing charges in relation to premises by reference to volume; or

(b) amends or revokes any charges scheme containing such a statement or any charges scheme to which this section applies by virtue of this paragraph.

(2) Subject to the following provisions of this section, water undertakers shall not make a scheme to which this section applies unless—

(a) they have submitted a proposed scheme to the Secretary of State for his approval;

(b) the Secretary of State has approved the proposed scheme, either unconditionally or subject to such conditions (including conditions requiring modifications of the proposed scheme) as may, after consultation with the undertakers, be specified by him in the approval; and

(c) the scheme made by the undertakers complies with any conditions specified in the approval and, subject to that, is the same as the proposed scheme.

(3) In determining whether to give an approval for the purposes of subsection (2) above to any proposed scheme, or whether to make any such approval subject to any conditions, the Secretary of State shall have regard, in particular—

(a) to the interests of any persons on whom charges are imposed by the scheme; and

(b) to whether provision which appears to him to be appropriate has been, or is to be, made with respect to the matters specified in subsection (4) below;

but, in the case of a proposed scheme submitted after 1st April 1989, the Secretary of State shall be entitled, without having regard to those matters, to refuse his approval on the grounds only that the scheme has been submitted to him after that date.

(4) The matters mentioned in subsection (3) above are—

(a) the methods by which and principles on which any charges fixed in relation to any premises by the scheme are calculated and imposed;

(b) the selection and identification for the purposes of the scheme of the locality in which those premises are situated and of those premises within that locality;

(c) the period during which any charges fixed by the scheme in relation to those premises are imposed;

(d) the consultations about the proposal or, as the case may be, about the implementation, effect or operation of the scheme which have been or are to be conducted with persons who are likely to be, or have been, affected by the scheme and with any bodies representing the interests of those persons;

(e) the handling of any representations about the implementation, effect or operation of the scheme; and

(f) the supply to the Secretary of State of such information about the matters specified in paragraphs (a) to (e) above or otherwise about the implementation, effect or operation of the scheme as the Secretary of State may from time to time require.

(5) Subsections (3) and (4) of section 3 above and subsection (3) of section 31 of the 1973 Act (directions of the Secretary of State) shall not apply in relation to the exercise of any power to fix charges by means of a scheme to which this section applies; but the Secretary of State may have regard to the matters mentioned in subsection (3) of section 3 above when he is considering, for the purposes of subsection (3) above, whether appropriate provision has been made with respect to the methods by which and principles on which any charges are calculated and imposed.

(6) The Secretary of State shall not be required to consider whether to give an approval for the purposes of subsection (2) above to any proposed scheme unless the undertakers who submitted the scheme to him supply him with such information as he may require for the purpose of enabling him to determine whether to give his approval and to what conditions, if any, his approval should be subject.

(7) If it appears to the Secretary of State appropriate to do so for any reason whatever he may give a direction to any undertakers who have made a scheme to which this section applies requiring them—

(a) to amend or revoke the scheme; or

(b) to comply with any provision made by or for the purposes of the scheme with respect to any matter specified in subsection (4)(d), (e) or (f) above;

and subsection (2) above shall not apply to the making of any scheme to give effect to a direction under this subsection.

(8) Where any water undertakers fail to comply with a direction under subsection (7) above—

(a) the Secretary of State may, instead of enforcing the direction by mandamus, himself exercise any power of the undertakers to amend or revoke the scheme in question or, as the case may be, to secure compliance with the provision in question; and

(b) any expenses which the Secretary of State certifies were incurred by him in the exercise of any power under paragraph (a) above shall, on demand, be paid to him by the undertakers.

(9) Any administrative expenses incurred by the Secretary of State in consequence of this section shall be paid out of money provided by Parliament.