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Proceeding contribution from Lord Hunt of Wirral (Conservative) in the House of Lords on Wednesday, 22 April 2009. It occurred during Committee of the Whole House (HL) and Debate on bill on Postal Services Bill [HL].


Postal Services Bill [HL]

In working my way through the various conditions that the Bill allows Ofcom to impose, one of the most important concerns has been whether it requires Ofcom to show that the condition is necessary. Unlike in Clause 44, which imposes general access conditions, Ofcom does not have to show that a USP access condition is necessary—merely that it is appropriate for the promotion of efficiency, effective competition or the conferring of significant benefits on the users of postal services. I should be interested to hear from the Minister what sort of burden of proof there is on a requirement to be "appropriate". The vagueness continues in subsection (4), when Ofcom must consider whether to impose a price control. The drafting seems to make it appropriate as long as there is the possibility of the universal service provider having the ability to fix prices at an excessively high level or impose a price squeeze. We frequently have debates in this House over the words "may" and "must", and even "must" and "shall". I am afraid that I am now including "might" in the list of potentially ambiguous modal verbs, but I look forward to hearing the Minister explain, in particular, whether subsection (4) will have any reference to the intent of the USP. I beg to move.


Secondary information

Type
Proceeding contribution
Reference
709 c1593 
Session
2008-09
Chamber / Committee
House of Lords chamber
Subjects
Audit Costs Competition Finance Public sector Prices Postal services Ofcom Postal Services Commission Post Office Standards Subsidies Royal Mail Universal service obligation
Legislation
Postal Services Bill (HL) 2008-09
Link
View this Proceeding contribution on www.publications.parliament.uk