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Ofwat details its affordability tariff position

by Karma Loveday

Ofwat has published its Conclusions on charging innovation to support affordability.


The regulator:

• clarified that companies can commence, and conclude, a charging trial at any point in the charging year, as long as the charges that will apply are set out in the charges scheme to take effect from 1 April;

• confirmed its good practice principles for household charging trials, including robust trial design and evaluation, effective engagement with and support for customers, and maximising learning across the sector;

• pledged to support trials that are consistent with the good practice principles through communication and through facilitating shared learning; and

• welcomed CCW’s engagement.


Ofwat praised Affinity Water for being the first mover in this space with the rising block trial it announced last week. Other schemes might include seasonal charging to lower costs in winter; reducing bills for homes with water butts and permeable driveways; and charges to support messaging about reducing water use at times when water is less available.

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