New meter reading performance regime approved to start in December

(by Karma Loveday)

New meter reading performance standards and charges will come into force on 1 December, after Ofwat approved code changes CPM058c and CPW149c, giving effect to the latest stage of Market Performance Framework reform.

Five new standards on cyclic and transfer meter reads will join the three linked to BR-MeX that came into force in April, forming the Key Performance Indicators for trading parties under the reformed system. The intention has been to sharpen incentives on a fewer number of metrics that really matter to customers.

The new KPIs are: 

• Transfer Reads: M04 – Successful Transfer Meter Reads; and M06 – Lateness of Missing Transfer Meter Reads.

• Cyclical Meter Reads: M01 – Cyclic Meter Reads Performed within the SLA (non-smart); M02 – Cyclic Meter Reads Performed within the SLA (smart); and M19 – Cyclic Meter Reading (non-market meters).

All are the responsibility of retailers except M19 which sits with wholesalers. 

A performance charge will be applied monthly for underperformance against each KPI and the associated performance standard. These range from between 75% and 100%, depending on the KPI.