This site uses the UK Government AccessKeys system
|
|
What's new | Publications | Media centre | Price review | FAQs Update alerts | Consumer issues | Site map | Competition | Contact us |
| |||||||||||||||||||||||||||||||||||||||||||||||||||||
Media centre
Limits on the prices that two small water supply companies can charge their customers may rise from next April – but by less than the companies wanted. Ofwat has challenged the proposals of both Bristol Water and Dee Valley Water and excluded costs that were not justified. It is now seeking views on its draft decisions. Regina Finn, Ofwat Chief Executive, said: "We limit the bills customers pay upfront when setting price limits by excluding costs that are uncertain. These two companies, Bristol Water and Dee Valley Water, are now facing costs that are both substantial and meet the strict qualifying criteria for changing customers' bills. "We will now consider the views of customers, the two companies and other stakeholders on these draft proposals before we make our final decisions." Ms Finn added: "Ofwat will continue to look after customers' interests by providing a rigorous challenge to monopoly water companies. But the companies should also look after their customers by applying for bill increases only after they have offset new costs against the savings made in areas such as the financing and delivery of their capital programmes. This will ensure that consumers continue to receive high quality services at a fair price." Under Ofwat's proposed changes, the average water bill for Bristol Water customers would rise in real terms by up to £4 more than previously set. By 2009-10 the average household bill will be around £143. Customers of Dee Valley Water would see their average water bill increase in real terms by up to £3 more than previously set. By 2009-10 the average household bill will be around £121. Notes to Editors: 1. The Water Services Regulation Authority (Ofwat) is the economic regulator of water and sewerage companies in England and Wales. It exercises its powers in a way that it judges will protect the interests of consumers, promote value and safeguard future water and sewerage services by allowing efficient companies to carry out their functions properly, and finance them. 2. Letters to Bristol Water and Dee Valley Water explaining Ofwat's decisions will be available on Ofwat's website, www.ofwat.gov.uk 3. Water and sewerage companies can ask Ofwat to look again at their price limits if they face significant new costs or lower income for specific items only that:
6.The consultation on the draft decisions runs until 30 November 2007. Responses should be sent by by email to stephen.stpier@ofwat.gsi.gov.uk, or by post to Stephen St Pier, Ofwat, Centre City Tower, Birmingham B5 4UA. 7.The proposed changes to the price limits for Bristol Water and Dee Valley Water for 2008-09 and 2009-10 would be as follows:
Price limits (%) – Dee Valley Water
8.Media enquiries to Ofwat Press Office on: 0121 625 1442/1416/ 1496.  | ||||||||||||||||||||||||||||||
© Crown copyright |
Disclaimer & Privacy Statement |