THE SCOTTISH National Party endeavoured to put a new slant on the
arguments about possible privatisation of Scotland's water supplies
yesterday by demanding that the publicly-owned Scottish industry should
receive the same financial treatment as the privatised one in England
and Wales.
SNP leader Alex Salmond claimed the Scots had subsidised the 1989
privatisation south of the border to the tune of #700m. Scottish local
authorities were entitled to receive the same level of investment, he
said.
''Scottish water needs investment not privatisation,'' Mr Salmond told
a news conference in Edinburgh. ''Privatisation is nothing more than an
ideological red herring.
''To meet EC directives on water and sewerage Scottish water
authorities will require investment of up to #5 billion in the next few
years. All privatisation would do is siphon off profits to the City of
London and the spiralling salaries of a few top executives.''
Scotland's water authorities were already crippled by a massive
capital debt -- #1.1 billion in March 1991 -- and loan charges on this
debt were #193m in 1990-91, he said. Since capital spending in the same
year was just #152m, Scottish authorities had to pay more in loan
repayments than they could spend on essential investment.
By following the SNP's policy much of the initial investment required
in Scotland could be found without massive increases in water charges,
the SNP leader added.
Meanwhile, the Scottish Liberal Democrats, who are also strongly
opposed to any Government moves to take water out of council control,
concentrated their fire on the threatened loss of local accountability.
SLD leader Jim Wallace warned that there was a danger that decisions
about water quality, in particular fluoridation, would be determined on
the basis of profit motive for shareholders rather than concern for the
consumer.
''At present, disconnections from domestic supplies are virtually
unknown in Scotland. However, Scottish Office Ministers have been
remarkably unforthcoming about how under privatisation similar
protection can be given,'' said Mr Wallace.
Ministers scolded Opposition parties for voicing concern but they were
doing little to enlighten the public debate and ease the public's mind.
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