Press Releases 2007

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News Release 04/2007 - Introduction of competitive market for water and sewerage in Scotland draws closer

02 August 2007

The economic regulator of the Scottish water industry today announced two significant developments in opening the market for business customers to buy water from suppliers other than Scottish Water. The Water Industry Commission for Scotland has approved Scottish Water’s wholesale charges scheme and has established the Central Market Agency (CMA).

When the market opens up to competition in April 2008, Scottish Water will act as the wholesaler, selling on to new retail entrants. Today’s charges scheme sets out what Scottish Water can charge new licensees for water and sewerage services. The scheme allows Scottish Water to recover all of its wholesale costs; it also allows scope for competitive licensed service providers to reduce end bills to business customers.

The Commission’s approval of the scheme coincides with the incorporation of the CMA. This Agency will facilitate the secure and efficient transfer of customer information in the newly competitive market, enabling customers to change service provider should they so wish.

Greater competition should bring wider choice, lower prices, better services and increased innovation for customers.

Speaking today Sir Ian Byatt, Chairman of the Commission said: “These are two important steps towards the opening of the retail market in Scotland.  This introduction of competition will very much be to the benefit of non-household customers”.
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