Public Bodies Bill [HL]

The noble Baroness suggested that what we are dealing with are rather minor changes. I can assure her that they are not rather minor but very minor. The amendments would remove these four Defra bodies from the Bill, which would be unfortunate as the very minor changes that we are proposing are not only modest but help to improve the efficiency of these bodies. They remove a financial burden from the taxpayer, which is something that we should all seek to do. I shall deal with the four bodies in turn, starting with the Joint Nature Conservation Committee. As the noble Baroness says, it advises the Government and the devolved Administrations on behalf of United Kingdom conservation bodies on UK-wide and international nature conservation. Its core role is to co-ordinate biodiversity surveillance and information management across the United Kingdom in support of better policy implementation and decision-making to help to meet the UK’s EU and international obligations. In consultation with the devolved Administrations, which jointly fund and sponsor the JNCC and the United Kingdom conservation bodies, the Government seek to ensure that it is operating as efficiently and as cost-effectively as possible. I wish to make it clear that the JNCC fully supports those aims and the committee has discussed a number of measures such as reducing the number of board and committee meetings and reducing the number of committee representatives. The committee has also discussed a proposal to amend its corporate status to allow it to operate as a conventional non-departmental public body, rather than through a company limited by guarantee, as at present. All those changes will enable the JNCC to streamline certain administrative procedures and to reduce its running costs. Some of these proposals—for example, reducing the number of committee representatives—would require changes to primary legislation. That could be the subject of an order made using powers in this Bill. That is why it is listed in Schedule 3. Other bodies are listed in Schedule 4 in order to modify their charging powers. The reason is not to increase the funding of these bodies but to ensure that those who create the costs of carrying out functions bear that cost. At present, those costs are not fully recoverable and, as a result, the burden falls on taxpayers. I should like to set out the proposals in respect of each body. Starting with the Drinking Water Inspectorate, the Government propose to enable the DWI to implement a charging scheme to enable the inspectorate to recover the cost of much of its regulatory work undertaken on behalf of the water industry. At present the DWI is funded entirely by Defra and, therefore, its costs of operation fall to taxpayers. Allowing the inspectorate to charge the industry for its regulatory work will result in a saving to taxpayers of around £1.9 million a year. On the introduction of a charging scheme, water companies will be able to pass on the costs to consumers, which we reckon will increase the average annual water bill by some 15p, not a very large sum. The MMO, as the noble Baroness rightly reminded us, is a very new body. It was created under the Marine and Coastal Access Act 2009. Many noble Lords, particularly the noble Lord, Lord Greaves, who sadly is not here today, will remember with much fondness the passage of the Bill through this House. There are charging provisions relating to marine licensing in that 2009 Act. I understand why the Committee might wonder why we need to modify those so soon after the Act was adopted. We are proposing the inclusion of the MMO for specific purposes which would avoid taxpayers subsidising marine licence applicants. The main purpose is to allow us to remedy a shortcoming in the 2009 Act, although I fail to understand why there should be a shortcoming in an Act passed by the previous Government. The noble Lord, Lord Hunt, will remember its passage. The shortcoming prevents the MMO from fully recovering the costs that it will incur in relation to marine licences, once the new marine licensing system comes into force in April this year. I stress that without that power there would be costs that would have to be met by taxpayers. Natural England is also included in Schedule 4 to modify its charging powers. This is solely to remove an ambiguity under existing law. Natural England already has powers to make charges in relation to its licensing functions under a variety of enactments. These powers are all worded in a way which gives rise to doubts over their scope. For example, although it can create a charge for issuing licences, it is unclear whether the existing powers allow Natural England to make a charge where it receives an application for a licence which is subsequently withdrawn or refused. Natural England is therefore included in Schedule 4 so that the Secretary of State can amend and clarify existing legislation and thereby make the extent of the existing charging powers clearer. Finally, I turn to the government amendment, Amendment 79A. As noble Lords will understand from debate on previous amendments, it restricts the order-making power of Ministers to the Drinking Water Inspectorate in England. Welsh Ministers will be given corresponding order-making powers for the DWI in Wales through the appropriate provisions in the Bill. I hope that the Committee will be prepared to accept Amendment 79A and that the noble Lord, Lord Hunt, will feel able to withdraw his amendment and not press the others in the group.