Part V FINANCIAL PROVISIONS

CHAPTER II FINANCIAL ASSISTANCE FOR UNDERTAKERS

154AF13Financial assistance to reduce charges

1

If the Secretary of State considers it desirable to do so, the Secretary of State may give financial assistance for the purpose in subsection (2) to—

a

an English undertaker, F5...

b

a F12water supply licensee that supplies water to premises in accordance with F7the licensee's retail authorisation using the supply system of an English undertakerF4, or

c

a sewerage licensee that serves premises in accordance with the licensee's retail authorisation using the sewerage system of an English undertaker.

2

The purpose is that of securing the reduction of charges payable by customers in an English undertaker's area for the supply of water or the provision of sewerage services.

3

The power in subsection (1) may be exercised in relation to all customers in an English undertaker's area or customers of a particular description.

4

Financial assistance under subsection (1) may be given in any form and in particular may be given by way of—

a

grant,

b

loan, or

c

guarantee.

5

Financial assistance under subsection (1) may be given on such terms and conditions as the Secretary of State considers appropriate.

6

Financial assistance under subsection (1) may be given in any manner and in particular may be given—

a

to an English undertaker by means of an arrangement made by the Secretary of State with another English undertaker, F2...

b

to a F6water supply licensee by means of an arrangement made by the Secretary of State with an English undertaker that is a water undertakerF1, or

c

to a sewerage licensee by means of an arrangement made by the Secretary of State with an English undertaker that is a sewerage undertaker.

7

A reference in this section to a customer in an English undertaker's area is a reference to—

a

a person liable to pay charges to the undertaker in respect of the supply of water or the provision of sewerage services, other than F10a water supply licensee or a sewerage licensee, F8...

b

a person whose premises are supplied with water by a F15water supply licensee in accordance with F11the licensee's retail authorisation using the undertaker's supply systemF3, or

c

a person whose premises are served by a sewerage licensee in accordance with the licensee's retail authorisation using the undertaker's sewerage system.

8

In this section a reference to the retail authorisation F9of a water supply licensee or of a sewerage licensee is to be construed in accordance with F14Schedule 2A or Schedule 2B, as the case may be.

9

In this section “English undertaker” means a water undertaker or sewerage undertaker whose area is wholly or mainly in England.