Ofwat makes submission to competition watchdog following companies' appeal
Following appeals from four water firms against its PR19 decisions, Ofwat has claimed it will demonstrate their challenges to be “unjustified” and highlighted water company shortcomings of the past.
In its submission to the Competition and Markets Authority (CMA) Ofwat said the four companies that have appealed to the CMA: Anglian Water, Bristol Water, Northumbrian Water and Yorkshire Water, “ want customers to pay more or receive a lower standard of service.”
Ofwat added: “Customers shouldn’t pay for inefficiency or to top-up funds to cover companies’ previous shortcomings and help them catch up with others.” In a further reference to company shortcomings Ofwat listed: “operational failures and concerns that, in some cases, more attention has been paid to taking money out for shareholders than delivering for customers.”
Ofwat chief Rachel Fletcher said: “We welcome the opportunity for the CMA, with its independent expertise, to settle the matter once and for all.”