Commentary on Sections Part 2: New Regulatory Arrangements, Etc 127. .Section 40: Guidance to the Authority on social and environmental matters.
This section adds a new section 2A to the WIA. Similar provision was made in the Utilities Act 2000 for the gas and electricity industries.
128.The section allows the Secretary of State, or for water and sewerage undertakers whose areas are wholly or mainly in Wales, the Assembly, to issue statutory guidance to the Authority. The subject of the guidance is how the Authority might contribute to social and environmental policies.
129.Subsection (2) in new section 2A requires the Secretary of State and the Assembly, where practicable, to have regard to the costs and benefits which may be expected to result from the guidance.
130.Subsection (3) in new section 2A requires the Authority to have regard to any such guidance when discharging its statutory functions.
131.Subsections (4) to (8) in new section 2A set out the conditions under which the Secretary of State or the Assembly may issue guidance.
132.Subsection (9) in new section 2A requires the Secretary of State and the Assembly to publish any guidance.