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PN 18/04 | 14 May 2004 |
Ofwat guidance signals new opportunities in mains laying |
Guidelines that signal new opportunities for developers in installing domestic water mains and sewers in England and Wales are published today by Ofwat.
Provisions in the Water Act 2003, which come into effect on May 28, formalise how developers who want to lay mains themselves (known as 'self-lay') should make agreements with water companies.
This will make it easier for developers to decide whether to choose the local water company to install pipework, or to opt for self-lay.
The provisions also give Ofwat new powers to deal with complaints about the charges and payments for installing new water and sewer pipes and the terms and conditions of agreements.
Ofwat's guidance explains how costs for laying new water mains and sewers should be calculated and outlines the process for handling disputes and appeals.
Tony Smith, Ofwat's director of competition and consumer Affairs, says:
"Our new guidance will bring clarity to mains laying in the industry. It will encourage water companies to be transparent in their charging. This will enable developers to take advantage of new opportunities and give water companies an incentive to improve efficiency, whilst safeguarding the quality of water supplies."
Ofwat has published the guidance following a three-month consultation period in the industry.
The new Water Act 2003 provisions will affect an average 175,000 new connections to water companies' water and sewerage networks each year.
Note 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. Customers' interests are represented by WaterVoice.
2. Copies of Ofwat's guidance documents on the Financial Arrangements for Self-Lay and Requisitioning Agreements and the Process for Handling Disputes and Appeals is available on the Ofwat website: www.ofwat.gov.uk or from Ofwat's library (0121 625 1373)
3. Copies of responses and conclusions to Ofwat's consultation on the financial arrangements for self-lay and requisitioning agreements and the process of handling disputes and appeals are also available on the Ofwat website: www.ofwat.gov.uk or from Ofwat's library (0121 625 1373)
4. Water Act 2003 Sections 90 – 93 relate to self-lay and requisitioning. These provisions will amend the Water Industry Act 1991.
MEDIA ENQUIRIES TO OFWAT PRESS OFFICE ON:
0121 625 1416/1496/1442
Out of hours enquiries to pager: 08700 555 500 water 503/509. Ofwat publications and press notices can be found on Ofwat's website at: www.ofwat.gov.uk
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