Southern Gas Networks plc v Thames Water Utilities Ltd

Gas – Street works. The Technology and Construction Court ruled that the obligation to make 'failure to supply gas' (FSG) payments, namely regulatory compensation payments which gas operators had to make to their customers when the gas supply had been discontinued and not resumed within a prescribed period, were not costs or expenses reasonably incurred in making good the damage to the damaged apparatus, within the meaning of s 82 of the New Roads and Street Works Act 1991. Section 82 was part of a complete code which precluded the recovery of damages in negligence.

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