Utility Week - authoritative, impartial and essential reading for senior people within utilities, regulators and government
Issue link: https://fhpublishing.uberflip.com/i/1102948
Customers UTILITY WEEK | 12TH - 18TH APRIL 2019 | 21 GOOD • Steady pace of switching • Switching experience is "okay" • Some retailers have few or no complaints NOT SO GOOD • Majority of consumers still unaware • Increasing number of complaints to largest retailers • More bill problems than ever CCWater's assessment of the market Views from the speakers: "We have all had to become experts in data, whether we like it or not." Richard Stanbrook, director, Pennon Water Services "Before the market opened there were already value- added services out there but visibility wasn't great and probably still isn't." Phil Marshall, deputy chief executive, Consumer Council for Water "Our vision is a vibrant business retail water market that delivers good outcomes for customers, saving them money, water and time." Emma Kelso, senior director of customers and casework, Ofwat "I don't under- stand why assuring data isn't a must for the industry." Andy Hughes, chief executive, Water Plus "I would not start up a retailer in the English market in the current state if I wanted to grow organically." Josh Gill, managing director, Everflow "Negotiations in all walks of life require compromise. Resolving bilaterals is good for the market. Parties need to work together to solve it." Samir Rahim, chief information o cer, MOSL "The market could work a hell of a lot better – let's not be complacent." John Reynolds, chief executive, Castle Water wasn't the only driver" for BT when choosing self-supply. Power said one of the major reasons it did was so it could speak directly to wholesalers, and to mitigate retailer price increases. Con- solidation was another big reason. "Consoli- dated billing was a major driver for us. To get 13,000 paper bills every year is a big resource headache." He added that former Ofwat chief execu- tive Cathryn Ross, who moved to BT as its director of regulation in July 2017, was very supportive of its switch to self-supply. For the greater good The time for individual retailer gain to the detriment of the competitive water retail market is over, the chief information o† cer of MOSL warned. Samir Rahim urged the water industry to work together to solve the "bilateral" problem in the non-domestic market. He highlighted the problem of a "lack of standardisation" with the interaction between water retailers and wholesalers. Rahim suggested a "large proliferation of diŠ erent ways of working" creates ine† - ciency, confusion and a reactive operation, which leads to a poor outcome for the cus- tomer. While there are "millions" of market transactions compared with a much smaller number of bilateral transactions, he argued there is a "disproportionate" amount of time and resources used to solve bilateral problems. Rahim said the market operator will "continue to beat the drum" as the matter is not a "trivial" one. He added: "No individual trading party should be able to dictate what is right for the customer or the market." Rahim said that while the majority of parties are "favourable" to ' nding a solution, some could either "take it or leave it" while a few are "absolutely against it". MOSL said it is keen to work with those who are opposed to bring them to a point where they are "content to say yes". "We cannot kick the issue into the long grass. A good outcome is that customers will bene' t and that is one main reason. "The market cannot stagnate – it needs to evolve. It's now down to the industry." Speaking in a panel discussion shortly a• er, Pritesh Patel, commercial director of First Business, said he would "love an all singing and dancing solution" but recognised it would be a large investment for wholesalers. The frictions of the market clearly need to be addressed and while lack of awareness is a sticking point, the sector has a long way to go to improve services for the customers who are engaged. There's plenty to focus on now the sector has entered its third year if it wants to pave the way for greater participa- tion in the future.