From April 2017 the English water market has been deregulated, opened-up for competition.
What changes is that your local water and sewerage providers must now sell their services at a wholesale price to other licenced water and sewerage providers.
Below is an extract from the published Profile tariff for the potable water supply in the Anglian Water area, this is typical of all wholesale / retail water price offers available throughout England. All participating water companies have published wholesale and retail tariffs on different websites in different formats.
|Wholesale price from Anglian Water (page 68)||Retail price Anglian Water Business||difference|
|Profile Potable Water Fixed Charge p.a.||£315.00||£829.00||+ £514.00|
|Profile Potable Water Volumetric Charge per m3||£0.6648||£0.6923||+ £0.0275|
This tariff is for businesses using between 10,000 - 24,999m3 potable water a year.
The difference between wholesale and retail prices for 24,999m3 potable water is £944 which is less than 6% for the retailer to make a profit and offer your business a tariff reduction.
By default water retail services are transferred to your incumbent local water company's new Retail Business which will charge the default retail price. Your water / sewerage costs will not be reduced unless you proactively invite a water retailer or broker to make an offer.
Note : Some water companies, most noticeably Thames Water decided that participating in the deregulated market was not a strategic move, very limited opportunity for profit.
In addition to offering a price reduction for water and sewerage services the water retailer must provide outstanding customer support in areas such as leak detection, AMR portal, consolidated electronic billing etc.
The local water company is still responsible for water quality and distribution infrastructure.
If either the retail prices or retail customer service levels are not delighting, you the customer are free to take your business elsewhere.
For end consumers of water an offer of a % price reduction combined with one organisation providing billing services across multiple sites is about the full extent of possible savings through price reductions. Much greater savings are possible through reducing excess water usage.
Utilities Manager's proactive methods of automated monitoring and targeting (aM&T) water leaks across multiple sites are proven to reduce water costs. No guarantees, but our track record suggests a 30% saving across multiple building estates.
Utilities Manager is not water broker, so is impartial as this new retail market develops. With certainty, we expect to save our subscribers more than 5% through the measure | report | improve process. Utilities Manager does not work on a profit share price model so all savings achieved will be retained in your business.