Do you want to be able to choose your water company?

humdigadi

I beg OFWAT to scritinise other similar markets to properly determine the (dis)benefits where the equivalent option has been implemented.

I work in the energy industry and that market, just because of the number of companies involved in unnecessarily complicated. Yes it needed to be privatised as it wasn't efficient but capacity markets and auctions etc are horrendously complicated. What does this mean? Well it means each company has employ a good number of people to manage it which doesn't help the bill payer at all.

The government directives think they are cutting down prices by increasing competion but the competition itseld costs money to manage. Suppliers have to jump through hoops and it doesn't really benefit anyone.

I ask one question: How many customers complain about the cost of their water supply against the number that complain about their gas/electricity?

The water companies are not perfect by any stretch but creating competition won't help. It will only work with a good regulatory framework. And it seems to work well now. And if it ain't broke, don't fix it.

barbara`

In principle, Great! But what about companies with long coastlines to manage & drought areas to cope with like Anglian Water? Who would look after the reservoirs & dams if companies are trying to cut costs to save losing customers?

Steffhow

We moved a whole 8 miles and our water bill trebled, after some arguments regarding our previous metered usage they agreed to drop the fixed tariff whilst we waited for a meter to be installed but our bill is still more than double than at our previous address even though the waste supplier is the same as our old supplier. The communication from the water company was awful and we weren't informed that supply and waste was with different providers, if the water companies are going to subcontract waste management then there should be a more straightforward one bill system.
I would certainly welcome the opportunity to chose from suppliers or at least a more consistent pricing tariff.
I think your suggestion of a £6 is grossly underestimated if I could choose to return to my old supplier I would save £360 (minimum)!

emerald_flip_flop

Given that gas and electric companies have amply demonstrated since opened to so-called "competition" that it just doesn't work in favour of the consumer, I am frankly staggered that you even ask the question.

All any consumer wants is a reliable service at a decent and fair price that doesn't unjustly enrich senior staff or shareholders, that protects the most vulnerable in our society and with a watchdog with proper teeth to ensure that all the above happen.

Have we ever had that from privatised utilities? No. So there's absolutely no prospect that this proposed change in water utilities would be any different. The big boys always win and the little guys - the customers - will continue to be fleeced and trampled on.

So, instead of trying to create make-believe competition, how about beefing up the regulator's powers (and making sure they actually enforce them on behalf of the little guys) so that they can prevent profiteering and enforce leak fixing - and hey, how about directly linking this to Directors' remuneration and bonuses and to dividend payments?!

Smodlet

mrsp1987 wrote: »

For a saving of £6 a year it's not worth it at all. Then again I'm with Severn Trent and reading the comments on here it sounds as if I'm lucky in that regard.

We got a water meter when we moved in. The family before us had 2 adults and 2 teenage children. It's just me and my husband. Before we got our meter we had paid so much in RV that after the meter was installed we were so far in credit that we paid £5 per month for over a year. We now only pay £12.10 a month. Why should the water company guess how much I use based on the size of my property when I can pay for what I actually use?
You wouldn't expect British Gas (or whomever) to totally guess how much you use based on family size and proper size would you?

Rather than letting customers choose their water supplier there needs to be more reform of the water companies/industry themselves. Poor customer service, confusion about sewerage and standing water charges, poor maintenance and upkeep. These are the issues that need to be resolved. Capping the amount companies can increase their charges by would be helpful to limit and potentially reverse the massive disparity across the country.

As far as bundles go I do not want everything provided by one company. Grouping TV, phone and broadband is the closest I will come to bundling and even then I'm not enamoured with it. I want my water company to focus 100% on providing water and my Sky to focus 100% on providing TV and British Gas to concentrate 100% on my gas and electricity.

Anyway those are my 2 pennies worth and as I'm lucky enough to be provided by Severn Trent and I've not had any problems with them in 5 years why on earth would I want to rock the boat?

mrsP1987, your post illustrates perfectly why water meters are great for the better off and lousy for the poor people. Thank you. The more your house is worth, the more you stand to save by having a water meter. If your house is on the bottom rung of the property ladder, you are almost bound to be out of pocket from having one forced upon you. Yet another way to widen the gap between the haves and have-nots.

mgarl10024

I'm all for choice and competition (as long as there is genuine competition in the market) and find it frustrating that I cannot switch.

I also think that the market is ripe for innovation:
- What about smart metering? - especially with something I can put next to the shower
- What about varying the price according to environmental conditions? A wet year = cheaper prices, a dry one = more expensive.
- What about allowing the bulk-buying of water? e.g. When the water price is lower I could pay for a 'bundle' and use it when the price is higher (like a fixed price energy tariff)?
- What about challenging the 95% assumption? (whereby my sewerage is billed based on 95% of my supplied water - which given the large vegetable garden is far too high)
- What about sponsoring home grey water capture schemes? (I recently looked into installing a 10,000L tank under the lawn for garden watering, and it would cost thousands to install and would store just £35 of water - it'd never pay for itself)

Over the next 20+yrs, especially with climate change, water supply, storage and use is going to become increasingly important. The fact that all water used in the average house is drinkable/potable, and yet we drink so little of it and use it in huge quanities for washing / presure washing drives / washing cars / watering gardens, is simply madness and the whole industry (not just the billing of customers) and the way we think about water will need radical overhaul in my lifetime.

ripope

If we have the ability to change water suppliers, it should probably improve service and hopefully reduce costs.
My supplier is a not for profit company and is pretty good all round.
If others could choose their supplier it should make the others improve.

bexhill

We live in an area where we are billed by one company for fresh water and another for waste water seems a rather wasteful means of business

Norman_Castle

Smodlet wrote: »

mrsP1987, your post illustrates perfectly why water meters are great for the better off and lousy for the poor people.

Water meters are better for low users but not for high users. Nothing to do with wealth. Some properties charged by rateable value are very cheap compared to metered properties despite similar water consumption. Metering all properties would end this.

dgp1000

Personally I don't think choosing a water supplier is worth it for 'households'. The savings will be minor, if people won't swap for £100s a year energy savings they certainly won't for £6 or thereabouts.


The wholesale price for water will be set to take into account the issues with coastline;etc other posters have already mentioned this is why there are already big regional differences in cost. So the scope the water companies have to make savings and pass them on is minimal.


The big benefit is for large organisations with a nationwide coverage who will be able to switch to using one supplier rather than the 40+ they have to deal with now - the admin savings will be significant for both customer and supplier. This might force water service companies to merge which in itself will reduce competition over time.