ELECTRICITY (STOCK) REGULATIONS, 1948.
| Jurisdiction | UK Non-devolved |
1948 No. 526
ELECTRICITY
3. British Electricity Stock
THE ELECTRICITY (STOCK) REGULATIONS, 1948.15thMarch 1948
16thMarch 1948
23rdMarch 1948
Arrangement of Regulations
Part I Issue and Redemption of Stock Regulations 1 to 8
Part II Provisions relating to Stock Regulations 9 to 14
Part III Payment of Interest and Redemption
Regulatins 15 to 19
Moneys
Part IV Special Provisions as to Scotland Regulations 20 to 22
Part V Transitional Provisions Regulations 23 to 28
Part VI Miscellaneous and General Regulations 29 to 37
The Minister of Fuel and Power (in these Regulations referred to as "the Minister"), with the approval of the Treasury, in exercise of the power conferred on him by subsection (2) of section forty of the Electricity Act, 1947 (in these Regulations referred to as "the Act"), and of all other powers enabling him in that behalf, hereby makes the following Regulations:—
PART I. ISSUE AND REDEMPTION OF STOCK
Issue of stock.
1.—(1) All stock issued by the British Electricity Authority (in these Regulations referred to as "the Central Authority") under the Act shall be redeemable stock and shall be created by and issued in pursuance of a resolution or resolutions passed by the Central Authority.
(2) The Central Authority may issue such class or classes of stock as they may determine, but each class of stock shall have a distinctive title and shall be issued on the terms and subject to the conditions that all stock at any time belonging to that class shall bear one and the same rate of interest, shall become redeemable on the same conditions and shall in all other respects be of the same character.
(3) Subject to the provisions of the Act and these Regulations, stock may be issued at such date, by such method, for such amount, at such price, at such rate of interest, and subject to redemption on such conditions, as the Central Authority with the consent of the Minister and the approval of the Treasury may determine.
(4) The Central Authority may, by resolution, revoke at any time, in whole or in part, any resolution for the creation of any stock theretofore passed by them if and so far as the same has not been acted on by the issue of stock thereunder; and notice of any such revocation shall forthwith be given to the Minister.
Savings for certain restrictions.
9 & 10 Geo. 6. c. 58.
2.—(1) So long as the borrowing or raising of money in Great Britain without the consent of the Treasury is prohibited by the provisions of any order made under the Borrowing (Control and Guarantees) Act, 1946, nothing in these Regulations shall be taken to authorise the exercise of a statutory borrowing power by the Central Authority without the specific consent of the Treasury given under those provisions.
10 & 11 Geo. 6. c. 14.
(2) Nothing in these Regulations shall be taken to relieve the Central Authority of any obligation imposed by the provisions of the Exchange Control Act, 1947.
Redeemability of stock.
3.—(1) Unless previously redeemed or required by the Act to be cancelled and subject to the provisions of this Regulation, stock shall be redeemed immediately at the expiration of such period as the Central Authority with the consent of the Minister and the approval of the Treasury may have determined in accordance with Regulation one of these Regulations.
(2) Unless redeemed by means of periodical drawings, no stock (other than stock required by the Act to be cancelled) shall be liable to be redeemed before the expiration of the latest date for redemption specified in the resolution creating such stock unless at least three months before the intended date of redemption notice thereof shall have been advertised in the London Gazette and Edinburgh Gazette and notified in the
manner (if any) required by the conditions of issue of the stock to be redeemed.
Redemption Fund Accounts.
4.—(1) For the redemption of stock there shall be carried from revenue in each year of the prescribed period applicable to the stock to Accounts (entitled "the Redemption Fund Accounts") of the Central Authority a sum or sums for redeeming or purchasing such stock.
(2) There shall be a separate Redemption Fund Account for all the stock to which each particular prescribed period relates.
(3) The sums to be carried to each Redemption Fund Account shall be either:—
(a) equal yearly or half-yearly sums sufficient without accumulations to redeem or purchase the stock to which the Account relates at the expiration of the prescribed period, or
(b) equal yearly or half-yearly sums which, if accumulated at compound interest with such rests and at such rate as the Central Authority with the consent of the Minister and the approval of the Treasury, may from time to time determine, would be sufficient to redeem or purchase the stock to which the Account relates at the expiration of such period, and, in addition thereto, a sum equivalent to interest on the amount from time to time standing to the credit of the Account at the rate on which the aforesaid equal yearly or half-yearly sums are based.
(4) The first contribution to each Redemption Fund Account shall be made within twelve months, or, when the sums are to be carried to the Redemption Fund Account half-yearly, within six months, from the commencement of the prescribed period.
Application of sums in Redemption Fund Accounts.
5.—(1) The Central Authority shall from time to time apply the whole or such part as may be necessary of any sum standing to the credit of any Redemption Fund Account in or towards the redemption, according to the terms of issue, of the stock to which such Account relates.
To the extent to which the whole or any part of such sum is not required to be so applied, and unless the terms of issue require redemption to take place by means of periodical drawings, the Central Authority may from time to time apply such sums in purchasing any stock to which such Account relates.
(2) In so far as such sums have not been applied in manner aforesaid, the Central Authority shall invest the said sums in statutory securities and the annual proceeds arising from every such investment shall be carried to revenue account.
(3) Where the sums to be carried to any Redemption Fund Account have been calculated in the manner provided by sub-paragraph (b) of paragraph (3) of the last preceding Regulation, and money standing to the credit of such Account has been applied in manner provided by paragraph (1) of this Regulation, the Central Authority shall carry to the credit of such Account each year an additional sum equivalent to the interest which would have been produced by the money so applied
if invested at the rate on which the equal yearly or half-yearly payments to such Account are based:
Provided that no such additional sums shall be carried to the credit of such Account in respect of sums paid in excess under paragraph (1) of Regulation seven of these Regulations.
(4) Notwithstanding anything in the preceding provisions of this Regulation the Central Authority may, with the consent of the Minister and the approval of the Treasury, employ for any of the purposes for which money may be borrowed by the issue of stock any money for the time being standing to the credit of any Redemption Fund Account and for such purposes as aforesaid sell any securities in which the last mentioned money is for the time being invested and employ the proceeds:
Provided that no money standing to the credit of a Redemption Fund Account shall be so employed unless provision is made for replacing the same, together with any loss of interest occasioned by reason of so employing such money, within the prescribed period.
Provision for adjustment of Redemption Fund Accounts.
6.—(1) If it appears to the Central Authority at any time that the amount standing to the credit of, or the investments representing, any Redemption Fund Account, together with the future yearly or half-yearly sums to be carried to such Account under these Regulations, will probably not be sufficient at the expiration of the prescribed period to make up a sum equal to the amount required to redeem the stock to which such Account relates, the sums to be carried to such Account shall be increased annually or otherwise to such extent as will make up the deficiency; and if it appears to the Minister, on a report by the auditors for the time being of the accounts of the Central Authority, that any such increase is necessary the Central Authority shall increase the sums to be carried to such Account to such extent as the Minister may direct.
(2) If the Central Authority desire to accelerate provision for the repayment of any stock, they may, with the consent of the Minister and the approval of the Treasury, increase, annually or otherwise, the sums to be carried to the Redemption Fund Account relating to that stock.
(3) If it appears to the Central Authority at any time that the amount standing to the credit of, or the investments representing, any Redemption Fund Account, together with the future yearly or half-yearly sums to be carried to such Account under these Regulations, will probably be more than sufficient at the expiration of the prescribed period to make up a sum equal to the amount required to redeem the stock to which such Account relates, the sums to be carried to such Account may be reduced, either temporarily or permanently, to such extent as the Minister may permit; or the Central Authority may, for so long as the Minister may permit, cease to carry any further sums to such Account.
(4) Any surplus standing to the credit of any Redemption Fund Account after the redemption or purchase of the stock and the discharge of the whole of the money to which such Account relates, shall be applied to such purpose or purposes as the Central Authority, with the consent of the Minister, may determine.
Provisions as to Redemption Fund Accounts.
7.—(1) In any year when money standing to the credit of any...
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