MD 156

TO THE MANAGING DIRECTORS OF
WATER AND SEWERAGE COMPANIES
AND WATER ONLY COMPANIES

20 January 2000

ANNUAL MONITORING OF COMPANY PERFORMANCE

During 1999, in a spirit of co-operation, companies agreed to an earlier submission date than July in order to facilitate the Periodic Review process.

This process worked well. This confirms that companies have in place a thorough process, for the systematic collection of quality assured data during the reporting year.

I consider that as part of my regulatory duties, I should release timely information into the public domain.

Companies announce their preliminary results during May. I currently publish the Report on levels of service and Report on financial performance and expenditure in the autumn. I would like to bring forward publication of these to late July which will enable customers and other key stakeholders to compare and discuss the preliminary results with Ofwat's analysis of the performance of the appointed business.

Publication during July will, however, require the co-operation of companies in submitting their annual returns at the beginning of June. In the light of the success of the June 1999 Return, I would be pleased, if again, this year, you can submit your company's return in early June.

I recognise that companies consider that the annual reporting requirements may be too great a burden. In the Ofwat Forward programme I indicated that I would be consulting with companies about future information requirements and submission dates.

My office is currently carrying out a detailed assessment of the current data requirements to eliminate any redundant data. Ofwat will be consulting the industry in respect of the annual information requirements this summer to decide on the reporting requirements for 2001 onwards.

I C R BYATT