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Thames Water is appealing to the UK competition regulator for a price increase review that can charge customers over the next five years, as the largest battles of water services in the Kingdom to avoid renovation.
Thames Water said Friday that the level of invoices set by WWAT regulator does not properly support the investment and improvement “required for the service to” offer to customers, communities and its environment for the next five years “.
Service, which provides water and sewage services for about a quarter of the UK population, was allowed by Ofwat to collect bills by 35 percent by 2030, less than 53 percent of the growing service. that he had asked.
Its customers will see that average household bills grow by one -third to 639 from April, including inflation.
Sir Adrian Montague, President of Thames Water, said: “We have made the decision to refer our final determination to the authority of competition and markets in the interest of our clients and the environment.
“We are focused on setting the business on a sustainable long -term basis in order to succeed in our turn, and to build and maintain an infrastructure that supports growth and can resist the effects of climate change.”
The demand for further invoice grows comes at a dangerous time for Thames Water, which is dealing with almost 19BN £ debt. The company is waiting to hear next week whether the courts will approve a 3 billion £ creditor assistance to prevent it from falling under the government’s special administration regime, a form of temporary renovation.
Last week, a Supreme Court judge criticized the WWAT and the government for failing to comply with the court proceedings to decide on an urgent credit loan.
Thames Water argues that he needs money to cope with the company’s destroyed infrastructure. The company has warned that there are 18 billion aging assets that pose “a risk to public safety, water supply and the environment”.
Most of its sewage treatment plants lack enough pipes and tanks to process sufficient flow, according to new research published by Financial Times this week, while thousands of South London families were left without water supplies This week.
The company is also being investigated by Ofwat to run back to more than 100 environmental improvement schemes paid by customers during the last five-year regulatory period and have not yet been delivered, as well as paying excess dividends in the year passed.
However, any increase in further bills will accumulate pressure on customers. Almost half of the families in England and Wales tried to pay their water over the last 12 months, while more than 8 percent of households – or 2.5MN people – were in retardation, according to research published by of Last month.
Most water companies still do not have to declare whether they will support prices and expense decisions and have only a few days ahead of time.
So far, only three publicly cited water companies quoted in Midlands and his collaborator Hafren Dyfrdwy, South West Water and his associate Sutton and East Surrey Water, and united services in the northwest of England-have been accepted Determination of Water, in addition to water DLA CYMRU WELLSI.
From the regional monopolies, this leaves the southwater stirred financially, plus Northumbrian, Yorkshire, England and Wessex to declare their hand.
CMA complaints have been rare since privatization 34 years ago. However, four companies – England, Yorkshire, Northumbrian and Bristol – appealed to the guard during recent regulatory negotiations in 2020 and won.
