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Water Industry Act 1991

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12 Determinations under conditions of appointment.E+W

(1)Without prejudice to the generality of paragraph (a) of section 11(1) above, conditions included in an appointment by virtue of that paragraph may—

(a)require the appointed company to comply with any direction given by the Director as to such matters as are specified in the appointment or are of a description so specified; and

(b)require the appointed company, except in so far as the Director consents to the company’s doing or not doing them, not to do or to do such things as are specified in the appointment or are of a description so specified.

(2)Without prejudice as aforesaid, such conditions may provide for the reference to and determination by—

(a)the Secretary of State or the Director; or

(b)on a reference by the Director, the [F1Competition Commission],

of such questions arising under the appointment and of such other matters, including (in the case of references to the Commission) disputes as to determinations by the Director, as are specified in the appointment or are of a description so specified.

(3)Where any question or other matter falls to be determined by the [F1Competition Commission] in pursuance of a provision contained in an appointment under this Chapter—

(a)it shall be the duty of the Director, on being required to do so by the company holding that appointment, to refer that question or matter to that Commission; and

(b)it shall be the duty of that Commission to determine any question or other matter referred by virtue of paragraph (a) above in accordance with—

(i)F2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(ii)the principles which apply, by virtue of Part I of this Act, in relation to determinations under this Chapter by the Director.

[F3(3A)For the purposes of subsection (3) above, where—

(a)the question or matter referred to the Commission concerns the review of a price control imposed on the company holding the appointment; and

(b)the Commission is to decide to what extent it is reasonable to take into account in its determination costs incurred or borne by the company in connection with the reference,

the Commission shall also have regard to the extent to which, in its view, its determination is likely to support the company’s (rather than the Authority's) claims in relation to the question or matter referred to it.

(3B)Subsections (4) and (5) of section 14, and sections 16A and 16B, below apply to references to the Competition Commission under this section as they apply to references under section 14.

(3C)A report of the Competition Commission on a reference under this section—

(a)shall be made to the Authority; and

(b)shall include definite conclusions on the questions or other matters comprised in the reference, together with such an account of their reasons for those conclusions as, in the opinion of the Competition Commission, is expedient for facilitating a proper understanding of those questions or other matters and of their conclusions,

and subsections (5) and (6) of section 15 below apply to such a report as they apply to a report on a reference under section 14.]

(4)F4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(5)F4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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