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Ofwat is planning to strengthen the Water Resale Order which has, for the past four years, safeguarded against overcharging by re-sellers of water by setting out how a maximum resale price should be worked out. The Water Act 2003 introduced new powers to allow Ofwat to strengthen the existing Water Resale Order. As a result Ofwat is proposing a number of changes including a requirement for people to be told how their bills are calculated, reducing bills in cases where this information is not given, and applying interest to overcharged amounts. The proposals are contained in the document – 'Consultation paper on the review of the Water Resale Order' - which Ofwat issued today. It is inviting interested parties' views on the proposed changes by July 19. Notes to editors: 1. The Director General of Water Services is the economic regulator of the water and sewerage companies in England and Wales. He exercises his powers in a way that he judges will allow them to carry out their functions properly, and finance them. 2. Under section 150 of the WIA91 Ofwat has powers to make an Order setting out what the maximum resale price for water or sewerage services should be, or how it should be calculated. Ofwat introduced the Water Resale Order in April 2001. This is published in the leaflet 'A guide to water resale'. The Order protects people who buy their water or sewerage service from a third party rather than from a licensed water or sewerage company. It does not apply to holiday lets, second homes, commercial customers or private supplies. 3. The WA03 amends section 150 of the WIA91 to give Ofwat extra powers when making a Water Resale Order. 4. Copies of the full consultation document or the summary leaflet can be obtained from the Ofwat library, Centre City Tower, 7 Hill Street, Birmingham, B5 4UA tel: 0121 625 1373 or can be downloaded from Ofwat's website, www.ofwat.gov.uk 5. Responses to the document should be sent to Tracey Lopes, Consumer Affairs Division, Ofwat, Centre City Tower, 7 Hill Street, Birmingham, B5 4UA by 19 July 2005. ENQUIRIES TO OFWAT PRESS OFFICE ON: 0121 625 1442/1416/1496 Out of hours enquiries to pager: 08700 555 500 water 509. Ofwat publications and press notices can be found on Ofwat's website at: www.ofwat.gov.uk  | ||||||
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