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CONTENTS ULR 149
Vol. 16 Issue 4 2006/2007 ISSN 0960 2356
Opinion
Martin Cave Does the Competition Commission care enough about Competition?................. 151
Warwich Business School
Articles
Water for Sale? Market Liberalisation In Scotland, water services are provided for almost the whole population by Scottish Water,
and public sector regulation in a vertically integrated public corporation established in 2002. Scottish Water replaced three
Scottish Water Services regional authorities, which in turn had taken over service provision following local government
Sarah Hendry reform in the 1990s – Scotland did not follow the English model of divestiture of the
Lecturer in Law, UNESCO Centre for industry. Scottish Water is however subject to a form of economic regulation very similar to
Water Law, Policy and Science, that in England and Wales. In April of this year, the Scottish Government and the economic
University of Dundee regulator opened up the monopoly market by allowing licensed suppliers to compete with
Scottish Water, in the delivery of retail services, to the non-household market. The move has
been described as being of global significance; it is consistent with the new options for
competition being developed in England, and with the way competition has operated in
other service industries globally. This article will examine these reforms, in the context of
the history and development of Scottish Water; it will assess whether the claims made are
justified, and whether the Scottish model – both the system of economic regulation, and the
new licensing regime - can be of interest to other countries, given that the emphasis across
the globe is on delivering water services efficiently and effectively and within the public
sector. ................................................................................................................................................ 153
Levy Funding, State Influence and the Two recent cases before the European Court provide important guidance on the extent to
Application of Community Law which levy funding should be characterised as financial support by the state. The first, Bayerische
Gordon Downie Rundfunk, examines the application of the EC public procurement rules to purchasing decisions
Shepherd and Wedderburn LLP of levy funded bodies in the broadcasting sector. The second, Essent Noord, considers whether
levy funding arrangements in the energy market can amount to state aid. Both cases appear
to signal a willingness to bring levy funded bodies within the notion of the state for Community
law purposes. While both of these cases concern different Community law regimes, they
appear to support the adoption of a ‘functional’ approach to the issue of levy funding. In
other words, and regardless of the fact that all of the financial burden may fall upon individual
customers, it is the function performed by a levy funding scheme that is of paramount
importance in determining whether it is or is not a form of state financing. ...................163
Edited by Peter Alexiadis EU Current Survey
and Simona Seikyte European Union – Energy – Gas – Water – Transport – Air – Telecommunications
Gibson, Dunn & Crutcher, LLPBrussels and Broadcasting .............................................................................................................................. 167
Edited by Philippa Young UK Current Survey
Solicitor, Oxford Broadcasting – Energy – Electricity – Gas – Postal Services – Telecommunications –
Transport – Water ....................................................................................................................... 180