Retail controls


When we next set prices in 2014 we will set separate price controls for retail and wholesale services. We will set two retail price controls, one for household customers, and one for non-household customers.

The retail price control will cover customer-related services that the companies provide – such as sending customers bills, and responding to their enquiries.

In its recent Water Bill, the UK government set out its plans to enable more non-household customers to have a choice of suppliers. Our retail price controls will need to take account of these plans.

Further information

Service incentive mechanism (SIM) for 2015 onwards – a consultation
In 2010, we introduced the service incentive mechanism (SIM) as the national minimum incentive for customer service. This document consults on changes we need to make to the detail of its application during 2015-20. We include information on why we need to change elements of the design and set out the options for doing so.
14/Oct/2013 (PDF – 1 MBytes)

Payment terms between wholesalers and retailers – a consultation
The purpose of this document is to consult on Ofwat’s preferred approach to setting payment terms between wholesalers and retailers in the water and wastewater markets in England and Wales. Following this consultation, we will publish statement on the form of payment terms.
11/Oct/2013 (PDF – 293 KBytes)

Water retail net margins
A report prepared for Ofwat by PriceWaterhouseCoopers
14/Feb/2014 (PDF – 760 KBytes)

Default tariff design workshop 18 March 2014
19/Mar/2014 (PDF – 593 KBytes)

Wholesale and retail charges – a consultation
This consultation describes some of the different options available for setting charging rules, and potential approaches to governance given our new price control framework and the Government’s reforms. We intend to set out our conclusions from this consultation in spring 2014, with a draft set of charging rules for consultation.
17/Jan/2014 (PDF – 820 KBytes)

Charging workshop 12 September 2014
14/Oct/2014 (HTML – 2 KBytes)

Charging working group
5/Feb/2014 (HTML – 2 KBytes)