HAVING REGARD to Article 5(b) of the Convention on the Organisation for Economic Co-operation and Development of 14th December 1960;

HAVING REGARD to the Recommendation of the Council of the O.E.E.C. of 23rd November 1956 concerning Action in the Field of Energy and the Establishment of an Energy Advisory Commission and an Energy Committee, and its amendments approved by the Council on 30th September 1961 [Doc. Nos. C(59)172; OECD/C(61)5];

HAVING REGARD to the Report of the Energy and Electricity Committees of 18th July 1962 on the Combined Production of Heat and Power [Doc. No. C(62)138];

RECOMMENDS the Government of each Member country to take such steps as it considers appropriate in order to:

(a)        encourage steam users to make thorough economic studies of the possible advantage of generating more electric power in dual purpose plant;

(b)        encourage studies on the advantages of district heating systems based on the combined production of electricity and steam, as compared to other heating systems, the studies in question covering all technical and economic data relevant to each case, including the cost of transporting heat to the consumer centre;

(c)        encourage the conclusion of agreements between producerdistributors of electricity on the one hand and auto-producer undertakings of electricity and district-heating concerns on the other, in order that:

(i)         back-pressure sets may be run in parallel with outside networks;

(ii)        transactions involving stand-by or relief supplies and the purchase of surplus power may both be based on economic conditions that are equitable for all concerned.

In adopting this Recommendation, the Council TOOK NOTE of a statement by the Delegate for the United States according to which he would abstain, owing to the existence of numerous privately owned generating stations on which the Federal Government could not enter into any commitment.