Ofwat consults on adding a customer-focused condition to water company licences

Ofwat has unveiled plans to modify water company licences to introduce a new customer-focused licence condition, following its May consultation to which all respondents were supportive.

The regulator is consulting until 23 November on deleting Condition J and G, and inserting a new Condition G relating to customer service. It explained the aim was to “tackle instances of poor treatment of customers and to hold companies to account where customers are harmed and / or repeatedly failed”. In addition, the licence condition will offer protection for non-household customers who are not served by a retailer including most Welsh businesses and those served by new appointees.

According to the consultation: “A customer-focused licence condition demonstrates the importance of a high standard of customer service and support. We see it as a key tool for driving up performance for the full diversity of customers' needs, as well as a lever for us to hold companies to account. With increased monitoring in this area, we will be able to focus on companies who are lagging behind, and / or areas of service which see repeated failures.”

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