06 Apr 2014
Dŵr Cymru Welsh Water has submitted a revised Business Plan (2015-2020) to the industry regulator, Ofwat, which proposes a 6% reduction before inflation in its average household water and sewerage bills by 2020 whilst maintaining record investment at £1.5 billion.
The average household bill will fall by £26 compared to current prices and will result in a decade of below-inflation increases by 2020. As part of the five year price review process (2015-2020), Dŵr Cymru submitted a Business Plan to Ofwat in December 2013 that outlined a £1.5 billion investment plan to maintain and improve its services. The Plan was endorsed by 94% of customers as part of the company’s largest ever consultation and research programme that helped inform the proposals.
In January 2014, Ofwat provided further guidance to water companies on what should be included in their Business Plans whilst Welsh Water also continued to consult its customers.
Chris Jones, Dŵr Cymru Welsh Water Chief Executive, said: “This Business Plan will drive improvements to the services we provide to our customers, maintain high levels of investment, offer even better value for money and a lower water bill.
“Despite cutting bills further, we’ve not cut investment or lost any of the benefits of our original plan. As a company without shareholders, our unique model in the utility industry ensures that all gains go to customers and the reduction in the bill has been achieved through some changes to the way in which we finance the Plan, including a lower cost of capital.
“Our Plan will improve services for today’s customers and future generations; maintain our strong financial base; provide a lower bill for customers; and help us achieve our long-term goals.”
Story appears courtesy of Dŵr Cymru Welsh Water.