IB 05/13 Ofwat publishes business planning consultation

 

Ofwat has today published proposals which outline how it expects companies to submit customer-focused business plans, which will help determine how much they can charge their customers from 2015 to 2020.

Ofwat’s risk-based approach to reviewing companies’ plans is new and will strongly encourage companies to focus on their customers rather than the regulator. The consultation emphasises that the best business plans should show how companies have actively engaged with their customers and stakeholders. Their plans should clearly show how they have taken customers’ needs and wishes into account.

The regulator’s consultation on business planning expectations follows its January consultation on how it will set price limits from 2015 to 2020. This set out how Ofwat is planning to change the way it regulates the water and sewerage sectors to drive more efficient, customer-focused companies, and ensure more sustainable water use.

Notes to Editors:

 

  1. Ofwat (The Water Services Regulation Authority) 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. Ofwat’s consultation ‘Setting price controls for 2015 – 20 – business planning expectations’ is available to view on www.ofwat.gov.uk
  3. Ofwat published its consultation ‘Setting Price Limits for 2015 – 2020 – framework and approach’ in January 2013. The consultation closed on 26 March 2013.
  4. Ofwat will publish a final methodology, and business planning expectations, for the next price review process in summer 2013. New limits on prices will come into effect in April 2015.
  5. Media enquiries to the Ofwat Press Office: 0121 644 7642 / 7616 / 7696 or [email protected].