Need For Cuts In Electricity Prices

EDM number 460 in 1992-93, proposed by Alan Williams on 08/07/1992.

That this House calls for an immediate reduction in electricity prices because electricity consumers have been cheated into paying for the privatisation of the industry; notes that ú2.8 billion of the ú7.9 billion which Ministers say has been raised by the sell-off of the industry came, not from the shareholders, but from the consumers; points out that this was achieved by ascribing to the electricity distribution companies a requirement to pay the Government ú2.8 billion of non-existent debt; notes that this sum has been raised by using high prices for domestic consumers, including the poor and the elderly, so increasing the revenue of the companies to enable them to repay this notional debt while recording record profits; notes that this privatisation tax has cost London's electricity consumers an average of ú141 already, Northern ú69, Southern ú49, Yorkshire ú35, Seeboard ú26 and Midlands ú24 although, as yet, only ú838 million of this ú1.8 billion privatisation levy has been paid; condemns this cynical exploitation of the consumers while shareholders have creamed off over ú600 million in capital gains; and warns consumers that the perpetration of price levels after debt repayment can only mean excessive profits for the companies.

This motion has been signed by a total of 45 MPs.