CONSUMER COUNCIL FOR
WATER News Release (CCWater 26/07) issued by The Government News
Network on 16 August 2007
The Consumer
Council for Water today backed Defra's announcement that in
future water companies in areas of serious water stress will be
able to seek approval to compulsorily meter their customers where
there is an economic case for doing so, but warned that the
potential financial impact on customers must be properly taken
into account and appropriate protection provided for vulnerable customers.
The champion for water and sewage customers in England and Wales
agreed that companies in southern and eastern England should
consider metering as an option in their plans to tackle growing
pressures on water resources - but argued that companies must not
rush into metering as the pace of any such programme will have an
influence on the costs that will be borne by customers. It will
also be important to have proper protection in place for those
customers who are on low incomes who are likely to see their bills
increase. Clear and effective communication with customers will be essential.
Dame Yve Buckland, Chair of the Consumer Council for Water, said:
"We support the Government's view that metering is
essential in water stressed areas, but have argued consistently
that compulsory metering will make it difficult for low income,
larger households to afford their water bills - and there is
currently no credible support system to help them."
The document published today (16 August) acknowledges that there
will be some winners and losers; for example, larger households in
lower rateable value properties tend to have higher bills after
switching to a water meter, as they use more water than average.
The Consumer Council for Water is concerned that the cost of
companies installing meters will impact on water bills; the
organisation therefore supports introduction over a longer period
of time to spread costs and allow time to allow appropriate
communication with customers.
"Concerns about metering can only be addressed when a
comprehensive support mechanism is in place," continued Dame
Yve. "Water companies should pilot new tariffs, where
feasible, to demonstrate how effective they might be once metering
becomes more widespread, but Government also has an important role
in creating a framework for such support.
"Metering is not the complete answer to driving down water
use, but it can work together with increased customer awareness
and more specific actions such as the use of water efficient appliances.
"In terms of water bills rising to pay for metering, this
will form part of the discussion for the Price Review 2009, where
we will strongly put customers' views, based on research we
have carried out."
The Consumer Council for Water's Fair Charging research
(March 2007) showed that the majority of consumers think that
metering is fairer than other charging systems. However, many
customers also worried that metered tariffs would rise, that it
would become a struggle to pay bills, and even that they might
become anxious about using water.
Dame Yve also explains that despite the current wet weather
consumers shouldn't assume that the problems of water stress
are over: "One wet summer won't solve this problem.
Water supplies will remain under longer term pressure in some
areas - particularly those that are densely populated or have low
average annual rainfall. Companies and consumers will have to work
together to ensure sustainability."
Notes for editors
1. The Consumer Council for Water (CCWater) represents consumers
in England and Wales. Consumers can contact CCWater on a national
number, 0845 039 2837.
2. CCWater is the statutory water consumer body, and operates as
a non-departmental public body reporting to the Department of
Environment, Food and Rural Affairs and the Welsh Assembly
Government. It has a committee for Wales, and at local level it is
supported by nine regional committees in England.
Public enquiries to CCWater's national number, 0845 039 2837
- or email at enquiries@ccwater.org.uk
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