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PN 14/08 | 3 June 2008 |
Water company seeks further expansion in Northamptonshire |
A small water supplier is continuing to expand in to the water sector by applying to serve new developments.
Ofwat today began a consultation into plans by Independent Water Networks Limited (IWN) to provide water services to a third new development in Northamptonshire.
The regulator is proposing to grant an inset appointment to IWN, which will allow it to supply water to a development of 162 homes at Great Billing Way, near Northampton. As the development is in Anglian Water's area of appointment, Ofwat is seeking views on its proposal to allow a change of supplier for the site.
If it gets the go-ahead, customers at the site will benefit – IWN is proposing to charge its customers 5% less per cubic metre of water supplied than Anglian Water would charge. IWN will be required to provide the same level of customer service as other water and sewerage companies. Anglian Water will provide the sewerage service.
Ofwat has previously granted IWN inset appointments for two developments in Corby, at Long Croft Road and Priors Hall.
Ofwat is inviting comments from all parties on our proposal. Comments must be submitted to Ofwat by 1 July 2008.
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. An inset appointment is the route by which one company replaces another as the appointed water and/or sewerage company for a specified area. Following an inset appointment, the replacement water company will have all of the same duties and responsibilities as the previous statutory water company for the specified area.
3. There are three qualifying criteria for seeking an inset appointment.
a. For an area in which each of the premises of one or more customers is supplied (or is likely to be supplied) with not less than 50 megalitres of water in England (250 megalitres of water in Wales) in any period of 12 months. This also applies to inset appointments for sewerage services.
b. For an area which is not served by an existing appointed company – an 'unserved site'. This includes an area that may be currently supplied by unregulated or 'private' supplies with its own source of water. This criterion has to be met for both water and sewerage services included in the inset appointment application. IWN has applied under this criterion.
c. For an area if the existing appointed company consents to transfer that area to the inset appointee.4. Media enquiries to Ofwat Press Office on: 0121 625 1442/ 1496/1416.
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