Clause 42 - Objectives and duties under WIA
Water Bill [Lords]
9:00 am

Mr Elliot Morley (Minister of State (Environment and Agri-Environment), Department for Environment, Food and Rural Affairs; Scunthorpe, Labour)
I could just leave it at that, because that is true. There is no purpose in the amendment, because there is already an obligation on Ofwat to consider the full range of consumer interests. That includes the immediate, long-term and, for that matter, medium-term interests.
In the broader sense, the amendment would have no effect. In the literal sense, it deals only with the immediate and long term and does not mention the medium term. We must consider the whole range of interests, and the danger of such a specific amendment is that it does not. It fails to mention the medium term, and if we were to interpret it literally, we would have some difficulties with it.
The main point is that there are obligations on Ofwat. New subsection (2C)(e) concerns competition, and the proposal as a whole mentions competition where appropriate. The Bill is balanced and recognises that consumer needs must be taken into account when considering any potential benefit of competition. I do
not disagree that competition is only one element of consumer interest, and we must take a broader view. However, the amendment is unnecessary, and I urge the hon. Member for Lewes (Norman Baker) to withdraw it.
