Ofwat consults on extending wholesale water supply beyond incumbents

Ofwat is consulting on a proposition that organisations other than the incumbent water companies should be able to contract for supply of water resources direct with retailers operating in the English business retail market.

The regulator is seeking views from interested parties about the development and implementation of the proposed bilateral market between retailers and businesses with licensed to abstract water for their own use. Companies that do not any provide surplus water water under their abstraction licences could include, said Ofwat, farmers, landowners, non-governmental organisations and large industrial users such as brewers and power generators.

The call for information is open until 6 September and can be accessed on the Ofwat website.

Ofwat said it was particularly keen to receive consultation responses from “potential participants in a bilateral market, such as third party suppliers of water resources and retailers in the business retail market.” It said also it was eager to hear views on policy changes that establishing a bilateral market may require.