Pennon and South Staffs in latest link-up to take on business water retail market
The business water retail partnership train picked up pace this week as Pennon Group and South Staffordshire Group unveiled a joint venture in the non-household water retail business.
The partnership will operate as operating as Pennon Water Services with the South West Water parent holding an 80% equity stake in the venture with SSG taking the remaining equity. Pennon’s Source for Business brand will remain for national, out of area operations while both companies will maintain their existing in-area brands.
The venture will, according to Pennon, be the fourth largest retailer in the non-household retail water market, with an 8% market share and a customer base of 180,000 accounts.
Pennon’s chief executive officer, Chris Loughlin (pictured) said: “We’ve made no secret of our ambition to develop our presence in the water market as we prepare for retail market opening next April.”
Laughlin’s counterpart at South Staffordshire, Adrian Page, looked forward to a “bigger national footprint and increased opportunities for growth and service delivery,” from the partnership.
Pennon Water Services will use South Staffs’ Rapid billing system .
Pennon Water Services was formed following Pennon’s acquisition of Bournemouth Water and its merger South West Water in April tis year.