Utility Week

UTILITY WEEK | 1ST - 7TH FEBRUARY 2019 | 3 This week 4 | Seven days 6 | Campaign Week three of our New Deal for Utilities campaign, where we examine the case for nationalisation 10 Policy & Regulation 10 | News MPs call for water 'mutual ownership' 11 | Analysis 2019 may be a better year for water customers than shareholders 12 | Opinion Jo Butlin, director, Energy Bridge 13 Finance & Investment 13 | News Business Stream buys Kelda business book 14 | Analysis Managing pensions risk needs to be a priority for utilities 15 | Market view Network charging reforms needed 16 Operations & Assets 16 | High viz River Clyde water- source heat pump 17 | Market view Debt collection with a conscience 18 | Market view Valuing network services 20 | Market view Data will shape utilities 21 Customers 21 | News Bristol Water 'still has too many complaints' 22 | Chief executive's view Pauline Walsh, Affi nity Water 24 | Event Water Customer Conference 26 | Utility Week Live Gail Scholes, chief executive, Robin Hood Energy 30 Community 31 | Disconnector GAS 14 | Analysis Managing pensions risk 20 | Market view Data will shape utilities WATER 6 | Campaign The case for nationalisation 11 | Analysis 2019 may be a better year for water customers than shareholders 13 | News Business Stream buys Kelda business book 16 | High viz River Clyde water- source heat pump 21 | News Bristol Water 'still has too many complaints' 22 | Chief executive's view Pauline Walsh, Affi nity Water 24 | Event Water Customer Conference ELECTRICITY 15 | Market view Network charging reforms needed ENERGY 12 | Opinion Jo Butlin, director, Energy Bridge 17 | Market view Debt collection with a conscience 18 | Market view Valuing network services 26 | Utility Week Live Gail Scholes, CEO, Robin Hood Energy DOWNLOAD: How to beat the digital disruptors at their own game https://bit.ly/2MfKXA8 See the Community section, page 30 Leader Suzanne Heneghan A sense of ownership During a recent chat with a water industry chief executive, I asked whether he dreaded the prospect of renationalisation. "You're asking me the wrong question," he said. "It should be 'why not renationalisation?'" – the reverse logic being that the best way of avoiding his worst-case scenario would be for him to demonstrate what it could actually look like. Yet despite Labour's vociferous calls for change, and renation- alisation now being a key part of today's utilities narrative, the privatised energy and water sectors have been slow to counter their critics in such a way. To varying degrees, they have so far failed to make a compelling enough case to the public – particularly the younger demographic – both about the successes achieved under private ownership and the potential future bene€ ts of privatisation. It's a key driver behind our New Deal for Utilities campaign, looking at how companies can rebuild public trust in the face of increasing adversity, not least the renationalisation debate – a point explored in more detail in our latest report on p6. A recent poll commissioned by Utility Week bears this out, with most people backing some form of public ownership, compared with just 14 per cent thinking utilities should stay in private hands. Yet, as the aforementioned chief executive suggested, the reality of renationalisation could be very di‰ erent to what the public might understand it to mean. Do they, for example, fully appreciate the breakdown between retail, distribution and generation? Or, more likely, would they be hard pushed to even name their network operator? And would a renationalised water industry competing for cash against the NHS be a funding battle the public really wants to see? How would nationalising networks link in to the wider debate around urgent decarbonisation, and would Labour's renationalisa- tion model look anything like most people, even the unions, are expecting? With rising public concern around foreign ownership and security of supply, coupled with the current societal mistrust of big business in general, it is easy to see why voters could lean towards a greater community involvement. But, as with Brexit, a binary choice on a big question can be perilous. Certainly, Labour's vision requires more detail around € nancing and how a renationalised utility would run. Thirty years in, privatisation could prove a tougher nut to crack than some might think. Suzanne Heneghan, acting editor, suzanneheneghan@fav-house.com If you are responsible for your company's outsourced or internal customer service centre we can deliver compelling cost savings to your business, with a typical rate for an FTE of just £10 per hour. Synergy operates an established Contact Centre in a modern and thriving part of Durban, South Africa employing experienced and highly educated staff. 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