Ofwat consults on direct procurement guidelines

Ofwat is consulting until 7 October on draft guidelines for stakeholders and appointees on its regulatory and commercial expectations where appointees are developing projects to be delivered by Direct Procurement for Customers (DPC).

The guidance covers:

• the regulatory framework for DPC projects and how this interacts with the commercial arrangements;

• the approvals process and appointee assurance processes for DPC projects;

• risk allocation;

• commercial arrangements including incentives on the Competitively Appointed Provider and the appointee; and

• the assessment of value for money for DPC projects.