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London Associated Electricity Undertakings Limited

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London Associated Electricity Undertakings Limited
Company typePublic company
IndustryElectricity supply
FoundedFebruary 1935
Defunct31 March 1948
FateNationalised under Electricity Act 1947
Headquarters
London
,
United Kingdom
Area served
Central and west London
Key people
Edward Goulding, 1st Baron Wargrave (Chairman, 1935–1936); Sir Frances Fladgate (Chairman, 1936–1937); Victor Bulwer-Lytton, 2nd Earl of Lytton (Chairman, 1937–1947); Clarence Parker (Chairman, 1947–1948)
ProductsElectricity distribution and retail supply

London Associated Electricity Undertakings Limited operated as an electricity provider in central and west London between 1935 and 1948. The company was created to merge and coordinate the electricity distribution activities of six companies located in west London.

History

The London Power Company was formed in 1925 by ten London electricity providers to centralize electricity generation at Battersea Power Station. Despite this, the original companies continued managing distribution and retail supply.

In 1934, six electricity firms serving west and central London decided to consolidate their distribution assets to enhance supply uniformity and operational efficiency. These companies included:

  • Brompton and Kensington Electricity Supply Company
  • Charing Cross Electricity Supply Company
  • Chelsea Electricity Supply Company
  • Kensington and Knightsbridge Electric Lighting Company
  • St. James and Pall Mall Electric Light Company
  • Westminster Electricity Supply Corporation

The entity was incorporated as a public company in February 1935 under the London Electricity (No. 2) Act 1925. Its objectives were to:

  1. Form a unified organisation replacing the six separate companies;
  2. Implement standardized tariffs at minimal expense;
  3. Promote swift adoption of the Central Electricity Board’s standardized system.

To achieve integration, the Charing Cross Electricity Supply Company acquired the other five companies and rebranded as Central London Electricity Limited. From 1 January 1937, all shares of Central London Electricity Limited were owned by London Associated Electricity Undertakings Limited. Directors of the merged companies received compensation equivalent to three years’ remuneration for their positions.

The company harmonized electricity supply standards (240 V, 50 Hz AC) throughout its service area, which led to substantial cost reductions. However, it did not succeed in attracting additional mergers.

During the Second World War, electricity sales declined by 30%, customer numbers fell by 39%, and electrical demand dropped by 37.5%. Tariffs were increased in both 1940 and 1943. War-related damage was estimated at £600,000, impacting substations, transformer chambers, and cabling infrastructure. Recovery efforts began in 1944 with increasing sales volume and consumer counts.

By 1948, the company maintained its headquarters at 60 St. Martins Lane, with retail showrooms located on Regent Street, Belgrave Road, Earl's Court Road, Sloane Street, and Victoria Street.

The company ceased operations on 31 March 1948 following the Electricity Act 1947, which nationalized the UK's electricity supply industry. Its high-voltage transmission assets were transferred to the British Electricity Authority, while distribution and retail responsibilities were assigned to the London Electricity Board (LEB).

Key people

Chairmanship of London Associated Electricity Undertakings Limited included:

Electricity supply statistics

In 1936, the year preceding consolidation, the six individual companies reported the following data:

Company Electricity sold (MWh) Maximum load (MW) Connection capacity (MW) Number of consumers
Brompton and Kensington 21,433 9.30 51.056 14,722
Charing Cross 116,454 48.988 119.731 11,614
Chelsea 37,729 10.350 55.131 11,462
Kensington and Knightsbridge 40,100 14.320 64.258 7,903
St James and Pall Mall 56,116 22.111 55.665 6,045
Westminster 124,249 47.766 200.450 28,607

Data reflecting operations for London Associated Electricity Undertakings Limited and Central London Electricity Limited demonstrated consistent growth over time:

Year Electricity sold (MWh) Connection capacity (MW) Consumer count
1934 314,000 450 –
1935 350,000 489 –
1936 386,000 – –
1937 419,000 592 –
1938 432,000 – 86,000
1939–42 No accounts published during wartime period
1943 303,000 – 53,000
1944 348,000 – 76,684
1945 382,250 – 83,800
1946 450,000 – 90,600
1947 433,000 –


Finances

By the year 1935, the total share capital of the merged entities amounted to £6.89 million. The consolidation was carried out by London Associated Electricity Undertakings Limited at a cost of £7,300.

Operational patterns in electricity pricing and income were as follows:

Year Tariff (d./kWh) Revenue (£)
1934 1.804 2,460,000
1935 1.682 2,500,000
1936 1.624 2,658,600
1937 0.5 2,782,600
1938 1.451 –
1944 –
487,000
1945 –
364,000
1946 –
394,000
1947 – –221,000

See also