WATER SUPPLY Citation and commencement 1 These Regulations may be cited as the Domestic Water and Sewerage Charges (Reduction) (Scotland) Regulations 2005 and shall come into force on 1st April 2005. Interpretation 2 In these Regulations– “charges scheme” means a charges scheme made under section 31 of the Water Industry (Scotland) Act 2002 for the relevant year; “council tax” has the same meaning as in Part II of the Local Government Finance Act 1992 ; “council tax benefit” has the same meaning as in Part VII of the Social Security Contributions and Benefits Act 1992 ; “dwelling” has the same meaning as in Part II of the Local Government Finance Act 1992; “Scottish Water” means the body corporate established by section 20(1) of the Water Industry (Scotland) Act 2002; “sewerage charges” means charges payable under a charges scheme in respect of the provision of sewerage services to a dwelling in the relevant year; “the relevant year” means the period of 12 months beginning on 1st April 2005; “water charges” means charges payable under a charges scheme in respect of the provision of water supply services to a dwelling in the relevant year. Reduction of Charges 3 Where a person is, under a charges scheme, liable to pay an amount– a in respect of the provision of water supply services or sewerage services, or both, by Scottish Water to a dwelling in the relevant year; and b the amount is payable to a local authority by virtue of the Water Services Charges (Billing and Collection) (Scotland) Order 2005 , the amount payable in respect of the relevant year shall be reduced by the amount calculated in accordance with regulation 4 below, where that amount is greater than zero. Amount of Charges 4 1 Where regulation 3 above applies, the amount of the reduction shall be calculated in accordance with the following formula:– R = A B × ( C - ( D E × F × G 365 ) ) 2 In paragraph (1) above– “A” is the amount of council tax benefit which that person receives in respect of that dwelling in respect of the relevant year; “B” is the council tax for which that person is liable in respect of that dwelling in respect of the relevant year; “C” is the amount which that person is liable to pay in respect of that dwelling in respect of the relevant year under a charges scheme, net of any discounts, exemptions and reliefs applicable under that scheme, for water charges or sewerage charges or both in respect of services actually received; “D” is the amount which that person would be liable to pay in respect of that dwelling in respect of the relevant year under a charges scheme, if none of the discounts, exemptions and reliefs under that scheme were applicable, for water charges or sewerage charges or both in respect of services actually received; “E” is the maximum potential water and sewerage charges which could be made by Scottish Water in respect of that dwelling; “F” is £255; “G” is the number of days in the relevant year for which that person is liable for council tax in respect of that dwelling; and “R” is the amount of the reduction. 3 In any case where R is zero or less, it shall be treated as zero. LEWIS MACDONALD Authorised to sign by the Scottish Ministers St Andrews House, Edinburgh 2nd February 2005