Electricity firms row over costs
Wednesday 27 March 1996
The regional electricity companies believe the total bill could be pounds 200m to pounds 300m instead of the pounds 50m suggested by the regulator, Offer, and are concerned that shareholders should not bear the brunt of the costs.
East Midlands Electricity has complained to Offer, calling for clarification of the situation and how the costs will be recouped. It is thought that the regional companies agreed at a meeting on Monday to pay pounds 50m, clawing it back from customers only once the benefits of competition have been established. However, East Midlands argues that the sum will cover only the costs of changes in the electricity trading pool and fails to recognise the impact on the individual companies.
The company pointed out yesterday that Ofgas, the gas watchdog, put the cost of introducing competition in gas at pounds 180m and that this is a much simpler task.
A senior executive of one company also warned that there could be chaos in 1998 unless Professor Stephen Littlechild, director general of Offer, assumes direct responsibility for driving the project. "In gas the Government and the regulator took the reins. In electricity no one `owns' the project - no one is willing to take control," he said.
- 2 Harry Potter fans can apply to the Hogwarts-inspired College of Wizardry
- 3 Jessica Chambers: 19-year-old woman 'doused with lighter fluid and burned alive' in the US
- 4 Russell Brand calls Nigel Farage 'poundshop Enoch Powell' in BBC Question Time debate
- 5 Orange Wednesdays are no more
Weather bomb in pictures: Storms cuts power for tens of thousands – and snow is on the way
Jessica Chambers: 19-year-old woman 'doused with lighter fluid and burned alive' in the US
Russell Brand calls Nigel Farage 'poundshop Enoch Powell' in BBC Question Time debate
Russell Brand was rendered speechless on Question Time by this man
Fury at Airbus after it hints the super-jumbo may be mothballed
Disgruntled RBS worker writes hilarious open letter to Russell Brand after anti-capitalist publicity stunt leaves him hungry
Shock poll shows voters believe Ukip is to the left of the Tories
Nigel Farage's approval rating hits 'record low' as popularity suffers in wake of Ukip sex scandal
Nigel Farage defends Kerry Smith 'ch***y' comment: 'If you are going for a Chinese, what do you say you’re going for?'
Ukip candidate jokes about 'shooting peasants' in racist and homophobic rant
Pakistan school attack live: Taliban kill at least 132 children in 'horrifying' massacre
iJobs Money & Business
Up to £70,000 per annum + benefits: Sheridan Maine: Are you a qualified accoun...
Up to £65,000 per annum + benefits: Sheridan Maine: Are you a qualified accoun...
£32000 - £35000 per annum + benefits: Ashdown Group: Marketing Services Manage...
£Neg. (DOE) + Excellent Benefits: Guru Careers: A Finance Account Manager with...