IB 04/14 Ofwat won’t pursue ‘substantial favourable effect’

Ofwat has today published a position note which confirms it will not pursue a ‘substantial favourable effect’ determination for Thames Water. Further details are available on www.ofwat.gov.uk

Notes to editors

  1. The substantial effect mechanism is included in companies’ licences. It allows price limits to be adjusted for circumstances outside of management control, where a significant and material favourable, or adverse, effect occurs.
  2. 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.
  3. Media enquiries to Ofwat press office on [email protected] or:
    Benedict Fisher 0121 644 7642
    Harbinder Babra 0121 644 7616