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Part 2Miscellaneous

44Social tariffs

(1)An undertaker’s charges scheme under section 143 of the Water Industry Act 1991 may include provision designed to reduce charges for individuals who would have difficulty paying in full.

(2)Subsection (1) includes schemes which have the effect of subsidisation by other persons.

(3)The Water Services Regulation Authority’s powers in connection with the approval of schemes (and its other powers under the 1991 Act) are subject to subsections (1) and (2).

(4)The Minister must issue guidance in respect of subsections (1) and (2) which must, in particular, include factors to be taken into account in deciding whether one group of customers should subsidise another; for which purpose the Minister shall have regard to the need to balance the desirability of helping individuals who would have difficulty paying in full with the interests of other customers.

(5)Undertakers and the Authority shall have regard to any guidance issued by the Minister under subsection (4).

(6)“The Minister” means—

(a)in the case of an undertaker whose area is wholly or mainly in England, the Secretary of State, and

(b)in the case of an undertaker whose area is wholly or mainly in Wales, the Welsh Ministers.