Electricity Act 1957

UK legislation to restructure the electricity industry

United Kingdom legislation

The Electricity Act 1957 (5 & 6 Eliz. 2. c. 48) (repealed 1989) was an Act of Parliament of the United Kingdom. The principal impact of the Act was the dissolution of the Central Electricity Authority, which it replaced with the Central Electricity Generating Board (CEGB) and the Electricity Council.^[1]

The Electricity Act 1947, which nationalised the industry, set up the British Electricity Authority (BEA) and 14 area boards; it also established a consultative council for each of the area boards. Two of the area boards served the south of Scotland. These were formed, together with the BEA's generation activities in the region, into the South of Scotland Electricity Board (SSEB) by the Electricity Reorganisation (Scotland) Act 1954, under which the BEA was renamed the Central Electricity Authority. The north of Scotland has been served since 1943 by the North of Scotland Hydro-Electric Board (NSHEB).

The principal innovation of the Electricity Act 1957 was the Electricity Council; however, this Act also turned the Central Electricity Authority into the Central Electricity Generating Board (CEGB).

The statutory bodies created by it had the following key responsibilities:

• The CEGB was required to develop and maintain an efficient, co-ordinated and economical system of supply of electricity in bulk to all parts of England and Wales. To this end it generated electricity and transmitted it, through the high voltage power lines and cables of its national grid, to Area Boards and direct to a few large industrial users;
• the 12 area boards in England and Wales (as created by the Electricity Act 1947) bought bulk supplies of electricity from the CEGB and distributed it to consumers in their area;
• the Electricity Council, the co-ordinating body of the electricity supply industry, advised the Secretary of State on matters affecting the industry, and promoted and assisted the development and maintenance by the CEGB and area boards of an efficient, co-ordinated and economical system of electricity supply;
• the 12 electricity consultative councils represented the interests of consumers in their area, and monitored the area boards' standards of service; and
• the Electricity Consumers' Council represented consumer interests at the national level, and could make representations concerning them to the ESI and to the Secretary of State. It had to be informed by the Electricity Council of the general plans and arrangements of both the Electricity Council and the CEGB, and, in particular, of any proposal by the CEGB to vary a tariff.

Provisions

The Electricity Act 1957 comprised 43 Sections in six Parts, and five Schedules

Reorganisation

• 1. Dissolution of Central Electricity Authority
• 2. Establishment, constitution and functions of Central Electricity Generating Board.
• 3. Establishment, constitution and functions of Electricity Council.
• 4. Whole-time members.
• 5. Consultative Councils.

Generation of electricity by Area Boards, and provision for research

• 6. Generation of electricity.
• 7. Research.

Provisions as to administration, and as to conditions of employment

• 8. Powers of Minister.
• 9. Representations by Electricity Boards.
• 10. Annual reports.
• 11. Statements of accounts.
• 12. Terms and conditions of employment.

Finances of Electricity Boards and Electricity Council

• 13. Balance revenue account.
• 14. Tariffs and special agreements.
• 15. Borrowing powers.
• 16. Issue of stock.
• 17. Treasury guarantees.
• 18. Boards' requirements.
• 19. Central guarantee fund.
• 20. Reserve funds.
• 21. Contributions.
• 22. Surplus revenues.
• 23. Compensation to local authorities.
• 24. Income tax and profits tax.

Transfer of undertaking of Central Authority to Electricity Council and Generating Board

• 25. Transfer of assets of Central Authority.
• 26. Transfer of assets and liabilities.
• 27. Compensation.

Miscellaneous and supplementary provisions

• 28. Supply of electricity to railways.
• 29. Maximum charges.
• 30. Certification of meters.
• 31. Placing of service lines above ground.
• 32. Placing of electric lines.
• 33. Construction or extension of generating stations.
• 34. Public inquiries.
• 35. Entry on land.
• 36. Highway procedure in connection with electricity works.
• 37. Preservation of amenity.
• 38. Status of Electricity Council, Generating Board and Area Boards.
• 39. Administrative expenses.
• 40. Interpretation.
• 41. Transitional provisions.
• 42. Amendment and adaptation of enactments, and repeals.
• 43. Short title, citation, commencement and extent.

SCHEDULES:

• First Schedule -  Councils.
• Second Schedule - Supplementary Provisions as to Public Inquiries.
• Third Schedule - Transitional Provisions.
• Fourth Schedule - Amendment and Adaptation of Enactments.
  • Part I - Amendments of Electricity Act, 1947.
  • Part II - Amendments and Adaptations of Other Enactments.
• Fifth Schedule - Enactments Repealed.

See also

• Electricity Act 1947
• Electricity Act 1989
• British Electricity Authority
• Timeline of the UK electricity supply industry
• List of pre-nationalisation UK electric power companies
• Public electricity supplier

External links

• Official text of the Act as enacted in 1957, at the Office of Public Sector Information

References

1. Competition Commission (UK), Report on Electricity Supply Industry, 1987 (PDF) Archived March 4, 2009, at the Wayback Machine