Ofwat consults on self-supply licence regime

The regulator believes the process could be “better tailored” to reflect the differences in the information it does and does not need for self-supply licences

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By Priyanka Shrestha

Ofwat is consulting on a number of proposals to streamline and simplify the process for those companies seeking to become a self-supplier in the retail water market.

Currently, self-supply applicants must go through a process very similar to those seeking a licence to become a retailer.

However, the regulator believes it could be “better tailored” to reflect the differences in the information Ofwat does and does not need for self-supply licences.

It is also proposing to introduce an annual administration fee for self-suppliers and reduce the fee for supply applications from £5,250 to £3,000.

Senior Director Emma Kelso said: “We think the process for applying for a self-supply licence should and could be simpler and cheaper. But we also think those with a self-supply licence ought to contribute to covering the ongoing costs incurred from this work. This is about being fair, transparent and reflective of the costs associated with the self-supply process.”

Ofwat is also consulting on a proposal to modify the standard licence conditions that apply to Water Supply and Sewerage Licensing Regime.

The consultations are open until 23rd March and 30th March 2018.