Water Industry Act 1999

Part II The Water Industry Commissioner for Scotland

12 Water Industry Commissioner for Scotland

(1) After section 67 of the [1994 c. 39.] Local Government etc. (Scotland) Act 1994 (in this Part of this Act referred to as “the 1994 Act”) there is inserted—

“The Water Industry Commissioner for Scotland

67A Water Industry Commissioner for Scotland and Consultative Committees

(1) There shall be a Water Industry Commissioner for Scotland (in this Part of this Act referred to as “the Commissioner”), who shall have the general function of promoting the interests of customers of the new water and sewerage authorities.

(2) In respect of each new water and sewerage authority there shall be a Water Industry Consultative Committee, which shall have the general function of advising the Commissioner on the promotion of the interests of customers of that authority.

(3) In exercising his functions in relation to an authority the Commissioner shall have regard to any advice given to him by the Consultative Committee in respect of that authority.

(4) The Secretary of State may, after consulting the Commissioner, give him directions of a general or specific character as to the exercise of his functions; and the Commissioner shall comply with those directions.

(5) Schedule 9A to this Act (which makes further provision about the Commissioner and Water Industry Consultative Committees) shall have effect.”

(2) The Scottish Water and Sewerage Customers Council is dissolved.

(3) For the purposes of the [S.I. 1981/1794.] Transfer of Undertakings (Protection of Employment) Regulations 1981—

(a) the functions of the Customers Council are to be treated as transferring to the Water Industry Commissioner for Scotland on the date on which this section comes into force, and

(b) the transfer is to be treated as the transfer of an undertaking,

and the Regulations shall apply to the transfer (whether or not they would apply apart from this provision).

(4) Before Schedule 10 to the 1994 Act there is inserted, as Schedule 9A, the Schedule set out in Schedule 2 to this Act.

13 Commissioner’s advice on charges

After section 75 of the 1994 Act there is inserted—

“75A Commissioner’s advice on charges

(1) The Commissioner shall, when required by the Secretary of State, advise him on the matters to be taken into, or left out of, account by the new water and sewerage authorities in fixing charges in charges schemes (within the meaning of section 76(1) of this Act).

(2) The advice—

(a) shall, as the Secretary of State requires, relate to authorities generally or to a particular authority,

(b) shall apply in relation to charges schemes made during such period as the Secretary of State may specify (in this section referred to as “the period of the advice”).

(3) In preparing his advice the Commissioner shall have regard to—

(a) the economy, efficiency and effectiveness with which authorities are using their resources in exercising their functions,

(b) the likely cost to each authority, for the period of the advice, of exercising the functions mentioned in subsection (4) below,

(c) the likely borrowing capacity of each authority for the period of the advice,

(d) any guidance issued to authorities by the Secretary of State, and

(e) any directions issued under section 116 or 117 of this Act.

(4) The functions referred to in subsection (3)(b) above are—

(a) complying with any duty to which an authority are subject by virtue of any enactment,

(b) complying with any such duty to which they will, or are likely to, become subject during the period of the advice, and

(c) providing services to their customers at the same standard, and protection of the environment at the same level, as those at the time when the advice is given, or at such other standard or level as the Secretary of State may specify.

(5) The Secretary of State shall, within three months of receiving from the Commissioner advice under subsection (1) above—

(a) accept the advice, with or without modifications, or

(b) reject the advice and substitute his own advice for it.

(6) Where the Secretary of State accepts the Commissioner’s advice with modifications or rejects it, he shall give reasons for doing so.

(7) The Commissioner shall arrange for the publication, in such manner as he considers appropriate, of advice as accepted, modified or substituted under subsection (5) above, together with any reasons given under subsection (6) above.”