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Balancing metered foul sewage and trade effluent charges

We expect water and sewerage companies to maintain an appropriate balance between charges for trade effluent and those for foul sewerage in metered households.

For the same volume of wastewater, differences in charges for trade effluent and household sewage should only be related to differences in strength. For the same strength of wastewater, differences in bills for trade effluent and household sewage should only be related to differences in volume.

This means that if a household produces the same volume of foul sewage at the same strength as a non-household customer produces trade effluent, they will both be charged the same.

We use a simple test to check the balance between sewerage and trade effluent charges. We subtract a notional trade effluent charge for household strength effluent from the metered sewerage volumetric charge. (RD26/00 ‘The household sewerage/trade effluent differential: confirmation of adjustments to Ofwat methodology’ explains how we calculate the notional trade effluent charge.) We consider that household sewerage and trade effluent charges are broadly in balance if the difference falls within a range of ±5p/m3.

Currently for all companies the differences between the household sewerage and trade effluent charges fall within the boundaries of ±5p/m3.

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