Case details
Summary
Section 3 of the Electric Lighting Act 1890 authorised the Minister to license electricity supply within any area, including the whole island of Jamaica. The provision did not require a smaller area or prohibit an exclusive licence. A general policy against monopolies could not qualify clear statutory language. Darcy v Allen (1603) (77 ER 1260; 11 Co Rep 84b) concerned the Royal Prerogative, while London Electric Supply Corpn Ltd v Westminster Electric Supply Corpn Ltd (1913 Knight’s Local Government Reports 1046) concerned different provisions and facts. Neither established a general restriction on the licensing power. Public-law challenges based on improper purpose or irrelevant considerations should be raised at the earliest stage.
Factual background
The appellants challenged a 2001 licence granted to Jamaica Public Service Company Limited under section 3 of the Electric Lighting Act 1890. The licence authorised exclusive electricity supply throughout Jamaica for 20 years and was later extended. Sykes J held that the Minister could license the whole island but could not prevent genuine consideration of other applications. The Court of Appeal of Jamaica allowed the Minister’s appeal on that issue, set aside the declaration, and dismissed the cross-appeal on the island-wide licensing issue. Before the Board, the central questions were whether section 3 authorised an exclusive island-wide licence and whether new allegations of improper purpose and failure to consider relevant matters could be raised for the first time.
Held
Lord Carnwath delivered the judgment of the Board.
- Disposition. The appeal was dismissed. The Board substantially agreed with the Court of Appeal and confirmed the validity of the licence.
- Construction of section 3. The statutory language was clear. The power to license a company or person to supply electricity within any area included an area extending beyond a local authority and therefore included the whole island. Nothing in the section or its context required the expression to be given a narrower meaning. An exclusive licence was not invalid merely because consumers within the licensed area were limited to one supplier.
- Monopoly authorities. Darcy v Allen, also known as The Case of Monopolies, confirmed limits on the Royal Prerogative but did not address legislative powers or statutory interpretation. It therefore did not assist. London Electric Supply Corpn Ltd v Westminster Electric Supply Corpn Ltd concerned a different section and materially different facts, including competition between different electrical technologies. Its anti-monopoly observations were tied to the specific statutory provisions and Provisional Orders in that case. They did not impose a general limitation on the section 3 licensing power.
- New grounds. Permission was refused to raise allegations of improper purpose and failure to take account of, or alleged misrepresentation of, the recommendations of the Office of Utilities Regulation. Such allegations should be made at the earliest stage, allowing an evidential response and examination by the trial judge. The appellants gave no adequate reason for withholding them, and it would be contrary to principle and unfair to the respondents to permit them for the first time before the Board.
- The Board advised Her Majesty that the appeal should be dismissed. Subject to submissions within 14 days, the appellants were ordered to pay the costs of both respondents.
The court’s approach to earlier authorities
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Appellate history
- Privy Council: On 19 October 2017, the Board dismissed the appeal from the Court of Appeal of Jamaica and advised that the appellants pay the costs of both respondents, subject to further submissions. [2017] UKPC 29
- Court of Appeal of Jamaica: On 16 January 2015, allowed the Minister’s appeal on the question whether the licence could prevent genuine consideration of other applications, set aside the declaration, and dismissed the cross-appeal on the power to grant an island-wide licence.
- Supreme Court of Jamaica: On 30 July 2012, Sykes J held that the Minister could grant a licence covering the whole island but lacked power to prevent other applications from being genuinely considered.
Key cases cited
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Cases citing this case
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