Clause 11 - Special functions in relation to pensions etc.
Energy Bill [Lords]
8:55 am
Mr Stephen Timms (Minister of State (e-Commerce & Competitiveness), Department of Trade and Industry; East Ham, Labour)
I begin by welcoming you, Mr. Sayeed, back to your role of looking after our deliberations.
Clause 11 enables the Nuclear Decommissioning Authority to establish and maintain a nuclear pension scheme covering those involved in decommissioning and clean-up. Continuity of pensions provision will be very important in retaining a skilled work force, particularly when individuals can expect to change their employer from time to time without changing their work. The NDA is being given powers to operate a pension scheme in which those working for NDA purposes can remain, whatever their employment arrangements.
The Bill provides pension protection for public sector employees who are transferred for NDA purposes—the Committee will generally welcome that—when such a transfer requires those employees to leave their current pension scheme. The powers in the Bill to establish and maintain an industry-wide scheme will allow the establishment of a scheme that may be the appropriate alternative scheme for those who transfer.
The clause also allows the NDA to administer a compensation scheme for the nuclear industry if it is decided that that is appropriate. The role is currently being performed by British Nuclear Fuels Ltd. and, in future, the NDA may take the view that it should do that, in which case the clause would allow that. I commend the clause to the Committee.