- The water sector has just over 12 months before Ofwat’s final decision on plans for 2025 to 2030 to show it can efficiently deliver better outcomes for customers and the environment.
- Latest performance report showed that most companies are currently under-spending on their investment allowance.
- Ofwat and CCW have required all companies to hold public meetings this Autumn, so their plans face local scrutiny.
Ofwat is calling on water companies to use the next 12 months to prove to customers that they can deliver better service and improve the environment. The latest Water Company Performance Report showed that after three years of the 2020-25 period, 13 out of the 17 water and wastewater companies had not spent their forecast enhancement allowance.
Today Ofwat published key facts from companies’ business plans, including information on proposed increases in investment and customer bills. Ofwat is currently scrutinising the companies’ plans, including looking at their ambition for customers and the environment and the affordability of plans for customers.
The key facts will support customers and stakeholders as they question and challenge the companies on their plans for 2025 to 2030. Starting this week, all companies are holding a series of public meetings on their business plans. Companies will present their business plans at these ‘Your water, your say’ meetings, including how they have reflected feedback from stakeholders to date. Ofwat is also seeking views from all customers and stakeholders on the plans via its website. Ofwat will draw on the feedback from the public alongside its own analysis as it makes its draft decisions on the business plans in May/June 2024.
Chris Walters, Senior Director, Price Review said: “The water companies have set out their proposals for the coming price control period, which include record levels of investment. Companies should not wait for our decisions on these proposals. We expect them to be taking action now to deliver. And where they do not deliver, we will ensure that the appropriate regulatory mechanisms are in place to protect customer interests against delayed or late delivery.”
Notes to editors
- October/November 2023 – Companies host ‘Your water, your say’ meetings for customers and stakeholders
- May/June 2024 – Ofwat publishes draft determinations for each company for consultation
- December 2024 – Ofwat publishes final determinations for each company
- 1 April 2025 – Price Review period begins; customer bills from this date will reflect PR24 outcomes
You can find Business Plan data tables here.
The ‘Your water, your say’ feedback form can be found here.
Ofwat’s Water Company Performance Report 2022-23 can be found here.