Ofwat stepping in to protect customers of Aquaflow Utilities Limited
Water regulator Ofwat has been informed by Aquaflow Utilities Limited that it is likely to enter into liquidation as of midnight on 9 April 2019. We are now stepping in to use our powers under the Interim Supply Code to ensure customers have a new water retailer as soon as possible.
Customers do not need to take any action, there are procedures in place to ensure affected customers are allocated a new retailer and the provision of water and wastewater services to the premises of customers will not be affected during this time.
Ofwat anticipate that around 74 business retail water market customers will be affected by the retailer going into administration.
Senior Director of Customers and Casework Emma Kelso, yesterday said:
“Aquaflow customers should be reassured that we have procedures in place to ensure there will be no disruption to your water and wastewater services.
“We are working alongside Market Operator MOSL to allocate customers to a new retailer as quickly as possible. They will contact affected customers shortly after being appointed.
“Of course, it is always difficult to see a company fail, but this is the market in action. Not all retailers will thrive and it is possible that, in the future, others will leave the market too.
As the market structures evolve, we will continue to make sure that customers are protected and continue to benefit from competition.”
Notes to editors:
The Interim Supply Code comes into effect when a licensee exits the market and there is a requirement for their customers to be reallocated.
In certain circumstances, a WSSL licensee may cease to supply its customers in the new market, for example as a result of insolvency. To deal with these circumstances, Ofwat is required to issue a code which provides for the arrangements necessary to ensure continuity of affected customers’ retail services and appropriate protections for customers and other market participants. These are referred to as the “interim supply arrangements”.
Ofwat published the Interim Supply Code in March 2017.
The Notice of Revocation can be found here.
For further information on the business retail water market, visit www.open-water.org.uk
Customers who have questions should visit the FAQs on www.ofwat.gov.uk. If customers have any concerns about their water supply, problems or complaints, they should contact the Consumer Council for Water at www.ccwater.org.uk
Ofwat Press Office:
Phone 0121 644 7642
Latest News from
Ofwat modifies licences of the 17 water companies to include the objectives of the Board leadership, transparency and governance principles01/08/2019 15:15:15
Ofwat has today made it compulsory for all water companies to meet new objectives about board leadership, transparency and governance (BLTG), including the need to establish a purpose, strategy and set of values.
Ofwat further protects customer interest with new guidance on companies’ ring-fencing obligations24/07/2019 08:05:00
Water companies trying to create financial arrangements otherwise prohibited by their licence, which might include things like intercompany loans up to the parent company, will have to clearly show how the arrangements serve customers’ interests or they will be blocked by Ofwat, new guidance shows.
Price review: Ofwat unveils programme of huge investment, service improvements and lower bills for water customers18/07/2019 10:25:00
Ofwat yesterday set out a major package of investment to signal a new era for what the water sector delivers for customers and the environment.
Market participants need to ‘step up’ to deliver for customers: Ofwat reviews the second year of the business retail market12/07/2019 12:15:00
Customers have saved around £10million in the second year of the market but urgent action is required to get the market working effectively and unlock better outcomes for more customers; according to a new report reviewing the second year of the business retail market from water regulator Ofwat.
Ofwat confirms package of measures aimed at strengthening financial resilience in water companies10/07/2019 12:15:00
Ofwat yesterday confirmed a package of measures to strengthen water companies’ financial resilience, by calling on them to adopt a common set of standards.
Ofwat provides early notice of concerns with 2020-25 efficiency for four water companies04/07/2019 15:37:00
Ofwat is writing to Anglian Water, SES Water, Thames Water, and Yorkshire Water to give them early notice that it has substantial concerns about their proposed costs for maintaining business as usual service (‘base expenditure’) for the 2020-25 period.
Southern water to pay £126m following Ofwat investigation25/06/2019 13:15:00
Southern Water has agreed to pay £126m in penalties and payments to customers following serious failures in the operation of its sewage treatment sites and for deliberately misreporting its performance.
Ofwat seeks to make it mandatory for all water companies to meet new board leadership, transparency and governance objectives15/05/2019 12:15:00
Ofwat yesterday launched a consultation to make it compulsory for all water companies to meet new objectives about board leadership, transparency and governance, including the need to establish a purpose, strategy and set of values.