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Water Industry Act 1991

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56 Determinations on requests for non-domestic supplies.E+W

(1)Subject to subsection (3) below, any terms or conditions or other matter which falls to be determined for the purposes of a request made by any person to a water undertaker for the purposes of section 55 above shall be determined—

(a)by agreement between that person and the water undertaker; or

(b)in default of agreement, by the Director according to what appears to him to be reasonable.

(2)Subject to subsection (3) below, the Director shall also determine any dispute arising between any person and a water undertaker by virtue of subsection (3) or (4) of section 55 above.

(3)The Director may, instead of himself making a determination under subsection (1) or (2) above, refer any matter submitted to him for determination under that subsection to the arbitration of such person as he may appoint.

(4)For the purposes of any determination under this section by the Director or any person appointed by him it shall be for a water undertaker to show that it should not be required to comply with a request made for the purposes of section 55 above.

(5)The charges in respect of a supply provided in compliance with any request made for the purposes of section 55 above—

(a)shall not be determined by the Director or a person appointed by him, except in so far as, at the time of the request, no provision is in force by virtue of a charges scheme under section 143 below in respect of supplies of the applicable description; and

(b)in so far they do fall to be determined, shall be so determined having regard to the desirability of the undertaker’s—

(i)recovering the expenses of complying with its obligations under section 55 above; and

(ii)securing a reasonable return on its capital.

(6)To the extent that subsection (5)(a) above excludes any charges from a determination under this section, those charges shall be fixed from time to time by a charges scheme under section 143 below, but not otherwise.

(7)The determination of any matter under this section shall be without prejudice to the provisions of sections 233 and 372 of the M1Insolvency Act 1986 (conditions of supply after insolvency).

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