Utility Week

36 | FEBRUARY 2021 | UTILITY WEEK Operational Excellence Focus on void properties Filling in the blanks Void occupancy data is a real issue for utilities, and especially for water companies. Ruth Williams talked to Sagicity's CEO about how best to tackle the problem. D ata consultancy rm Sagacity has urged water companies to tighten the gaps in their data to avoid regulatory penalties, manage leakage and consump- tion. Chief executive and founder Anita Dougall has made it here mission to help companies reduce the amount of time they spend knocking on doors. Government statistics show there are around 648,000 vacant properties in the UK but Sagacity says the water industry is regis- tering a signi cantly higher number. Void properties are those that a company has incomplete data on the occupants. This could be because people moved in or out and didn't update the supplier, but also where the property may have changed without the sup- plier being informed. There are around 3,000 post codes changed or updated each month for new-builds, conversions, demolitions. "They are a major problem for utility com- panies, driven by the nature of the indus- try. Customers move into properties and are using the water or energy supply without having to inform the supplier or provide occupancy details. This means companies don't always know who is using their ser- vice," says Dougall. "Water companies have millions of cus- tomers, so establishing who is occupying a void site and not being billed presents a huge data challenge. Going a step further to identify which customers are eligible for sup- port and need to be moved on to a di‰ erent tari‰ is even more complex. Most water com- panies do not have the data maturity to han- dle this, which is understandable, as data is not their core business." So, ho big a problem is this? What hap- pens if a company doesn't stay on top of occupancy details? "Water companies have targets of between 2 and 5 per cent permitted to be void, so occupancy data needs to be actively man- aged," says Dougall. "Utilities are subject to regulatory nes that run into hundreds of millions of pounds if the permitted voids are exceeded. Companies are getting better at using data. The customer experience can be severely impacted if bills are delayed, which can lead to a‰ ordability issues if household- ers receive a backlogged bill. Due to corona- virus it's especially important for companies to be aware of vulnerability and a‰ ordabil- ity issues – especially if these could a‰ ect credit ratings. PR19 put more of a focus on direct customer feedback than ever before so improving bill payer experience is essential. "There are operational costs associated with having to re-bill properties or attempt- ing to collect from empty households as well as people who are eligible for nancial sup- port not receiving it." Dougall says that the biggest single chal- lenge to lling the voids is – ats, because they "throw up a lot of issues about knowing who lives in them". It can be a problem identify- ing the bill payer or responsible person if there are multiple occupants, or if the – at is let out on a short-term basis. Also, property conversions can result in a di‰ erent number of people living on a site than records show. "Knowing about occupancy is essential," says Dougall. "The information allows com- panies to track usage and understand con- sumption patterns." And the data needs to be richer than just providing information on who lives at an address. "Utilities also need to know if peo- ple are nancially or otherwise vulnerable," says Dougall. "Assessing that really a‰ ects the customer experience. Customers are o˜ en not comfortable talking about vulnerability or nancial di™ culties but there is plenty we can do to identify those in need and get them on the right payment plan or tari‰ ." Ruth Williams, water correspondent "There are operational costs associated with having to re-bill properties or attempting to collect from empty households" Anita Dougall, CEO, Sagicity Flats often present the biggest problem when it comes to identifying occupancy

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