Partner Article

WEXIT: What to do if your water retailer withdraws from the market

England’s non-household retail water market will be fully open to competition on 1 April 2017, enabling all organisations to switch provider. But many familiar water companies are exiting the retail market.

“Hundreds of thousands of businesses will be affected by ‘WEXIT’, with 14 water companies so far granted permission to withdraw from the retail market”, said Mike Lee, Water Services Manager for Inprova Energy.

He continued: “The first thing to note is that these changes will not affect your business water supply or quality, your meter or your wastewater arrangements. All these physical aspects remain the responsibility of your existing ‘wholesaler’. The ‘retailer’ is responsible for meter reading, billing and all other aspects of customer service. In the short term, at least, this should have no impact on how much you pay.”

Those water supplier choosing to focus only on wholesale activities and withdraw from the non-household retail market, will move all customers to a new retailer. This could happen any time from now onwards. Unless businesses choose another retailer beforehand, their contract will automatically be switched to a new provider.

Businesses should hear of any change from their existing retailer and new retailer, who will issue new bills. Any transfer should be on the same terms as before, so there should be no immediate contractual changes. In the event of a switch, no business will be left without a water supply as this will remain the responsibility of the existing wholesaler..

Lee added: “There may be differences in the ways bills are calculated and presented and the frequency of billing. Some suppliers will invoice based on accurate meter readings monthly. Others will bill based on estimates with less frequent actual meter reads.

“Our advice would be to ensure you understand how any change in retail provider may impact your business. Generally speaking, you will be dealing with an existing water retailer that has acquired the customer base of the company that is withdrawing from the retail market. This will invariably involve new systems, processes and people. Whilst this will often be positive; that is not by any means guaranteed, so it as well to be fully informed about the service you will be receiving.

“If your current retailer is planning to exit the market, it makes sense to consider alternatives, so that at least you remain in control of the decision and can weigh up the benefits of sticking with the default replacement. or switching.”

Further information: www.inprovaenergy.com

This was posted in Bdaily's Members' News section by Inprova Energy .