Utility firms will need permits to dig roads

Oldham and the nine other councils in Greater Manchester are to become the first in the country to insist utility companies apply for permits to dig up local roads.

The scheme, which could go live this September, would bring in almost £5 million a year in fees and create almost 60 jobs.

Presently only 18 London boroughs and Kent County Council have permit schemes. Most areas rely on a 1991 Act which simply insists that the utilities give notice to authorities before they start work.

In future, permit applications from utility companies would be handled by a service centre based in the offices of Greater Manchester Passenger Transport Executive — which is soon to be renamed Transport for Greater Manchester.

The individual councils would decide whether a permit should be granted and what conditions should be attached. Enforcement decisions, which may involve fixed-penalty notices for overrunning works, will also be taken by each council.

Oldham is expected to grant just over 8,000 permits a year once the scheme is running — far fewer than neighbours Rochdale with more than 12,500.

Manchester is likely to head the league table of permit numbers with more than 18,000, followed by Wigan with almost 15,700.

Bury and Trafford are expected to have the fewest applications with less than 8,000 each.

Each council will decide this month whether to approve the idea and then an application will be made to Transport Secretary Philip Hammond next month.

Staff will be recruited between March and June and a trial scheme will be run this summer before it goes live in September.

The companies will pay £45 to £240 for permits, depending on location and time of day.

Although the idea will bring in millions of pounds, it will be controlled by the Department for Transport and the councils will not be allowed to make a profit. Fees must match costs — and will be reduced if the system starts making money.