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Gas Council

The Gas Council was a UK government body that provided strategic oversight of the gas industry in England, Wales and Scotland between 1949 and 1972.

The British gas industry was nationalised under the provisions of the Gas Act 1948 (11 & 12 Geo. 6. c. 67) which established the Gas Council with effect from 1 May 1949. The council acted as channel of communication between the Minister of Fuel and Power and the industry; it carried out research; undertook labour negotiations on matters such as wages; and acted as the voice of the gas industry.

The Gas Council was abolished on 31 December 1972 under the terms of the Gas Act 1972 (c. 60). This restructuring of the gas industry, to manage the advent of North Sea gas, established the British Gas Corporation to centralise control and operation of the industry.

Prior to nationalisation there were about 1,064 gas supply undertakings in Britain; about one-third were municipal local authority undertakings and about two-thirds were company undertakings.

In June 1944 the Minister of Fuel and Power appointed a committee of inquiry under the chairmanship of Geoffrey Heyworth to review the structure and organisation of the industry and advise on changes to develop and cheapen gas supplies. The committee reported in November 1945 and recommended the compulsory purchase by the government of all undertakings and the creation of ten regional gas boards. The Heyworth Committee report formed the basis of the Gas Act 1948.

The Gas Act 1948 was one of a number of acts promulgated by the post-war Labour government to nationalise elements of the UK's industrial infrastructure; other Acts include the Coal Industry Nationalisation Act 1946; the Transport Act 1947 (railways and long-distance road haulage); the Electricity Act 1947; and the Iron and Steel Act 1949.

The industry was fragmented with limited cooperation and coordination between undertakings. The exception were some industry-wide bodies with an interest in aspects of the industry. These included the National Gas Council which was established in 1916 to deal with matters that affected the whole of the industry, it included representatives of all the governing bodies. The British Commercial Gas Association was founded in 1912 and served as the publicity agency for the industry. There was also the National Federation of Gas Coke Associations, the Federation of Gas Employers, and the Association of Gas Corporations. The British Gas Federation was established in 1934 to represent collective interests of the council and association. In 1943 the industry proposed the establishment of the British Gas Council amalgamating the two existing bodies. The new organisation was established in 1946 as a company limited by guarantee. It represented 95 percent of the gas suppliers in Britain. It was chaired by Sir Edgar Sylvester (later chairman of the Gas Council) and its aim was to oppose nationalisation. The Gas Council, under Section 62 of the 1948 act, took over these bodies. Under section 2 of the Gas (Allocation of Undertakings to Area Boards and Gas Council) Order 1949 (SI 1949/742), it also took over the North Western Gas Corporation, a gas holding company that had been formed in 1947 to take over the town gas interests of the General Gas and Electricity Company.

Ministerial oversight of the gas industry prior to nationalisation was exercised by the Board of Trade until 1942, then the Ministry of Fuel and Power (1942 – 1949).

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