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UTILITY WEEK | 5TH - 11TH SEPTEMBER 2014 | 3 Leader Ellen Bennett This week 4 | Seven days 6 | People & Opinion 8 | Interview Bob Gallienne, chief executive, NJUG 13 Policy & Regulation 13 | News Annual DSR auctions will 'represent value' 14 | Analysis What is Ofgem's role? 16 | Market view EU network codes 19 Finance & Investment 19 | News GDF Suez sells half stake in UK wind 20 | Analysis Ofwat's draft determinations 21 | Investor view Gavin Templeton 22 Operations & Assets 22 | High viz The Sherbino 1 windfarm 23 | Pipe up Tony Hague 25 Customers 25 | News Meter reform rush 'a threat to customers' 26 | Market view Are security concerns over smart meters justified? 27 | Market view Belgium shows how demand response can work 28 Markets & Trading 28 | News Summer sees a more liquid power market 30 Community 30 | Reader focus Toby Ashong, Boxwood 31 | Disconnector The agenda as utilities go 'back to school' As this summer's silly season, dominated by ice bucket challenges, draws to a close, it's time to knuckle down to the serious business of the autumn. MPs are back in Parliament, party conferences are fast approaching, and the finishing touches are being put to the regula- tory settlements that will govern the next five or eight years – not to mention the competition inquiry that will reshape the energy supply sector. The Utility Week team gazed into its crystal ball and made some predictions for the closing months of 2014: • PR14 will be brought to a relatively painless close in December, with most water companies this week breathing a sigh of relief that they have finally reached dra determinations with no (more) surprises. That said, three companies are clearly in the naughty corner and United Utilities particularly has a long slog ahead. Meanwhile, the regulator has clearly signalled its wish to bring down the Wacc yet further in final determinations; the water companies seem resigned to their fate (see pages 4 and 20). • Frantic negotiations will continue behind the scenes between Ofgem and the power networks as RIIO-ED1 draws to a close in November. The networks are intent on clawing back some of the savings Ofgem is demanding, but the regulator will be loath to back down from its "Ofgem cuts energy bills" headlines – so any movement is likely to be small. Despite this, the networks will accept the settlements: with the political spotlight on network costs and certain suppliers trying to drag them into the CMA inquiry, a referral is the last thing they need. • In the supply market, the barriers to entry and competition for smaller suppliers will become the story, as Decc investigates the impact of exclusions from Eco and other social tariffs. Smaller suppliers such as Ovo will continue to benefit from the publicity, with customer switching on the rise. • All eyes on the big six this autumn with the $64,000 question: will they raise prices? It would seem an act of PR suicide to do so – but when has that bothered them? With next year's potential price freeze on the horizon, prices certainly won't be going down. We predict a mixture of responses from the big six, with the offer of early price freezes and other deals used to offset small price rises. • The Conservatives and Liberal Democrats will be looking to seize the political initiative from Labour on cost of living in this autumn's party conference season. Brace yourselves: we could be in for another "Miliband moment". Ellen Bennett, Editor ellen.bennett@fav-house.com GAS 8| Interview Bob Gallienne, Chief executive, NJUG 13| Political Agenda Mathew Beech 19| News SSE sells pipeline business for £52.7m 28| News UK gas imports fall due to mild weather WATER 20 | Analysis Ofwat's draft determinations 23 | Pipe up Tony Hague ELECTRICITY 13 | News Annual DSR auctions will 'represent value' 16 | Analysis EU network codes 19 | News GDF Suez sells half- stake in UK wind business 21 | Investor view Gavin Templeton 22 | High viz The Sherbino 1 windfarm 27 | Market view Belgium shows how demand response can work ENERGY 13 | Analysis What is Ofgem's role? 25 | News Meter reform rush 'a threat to customers' 26 | Market view Are security concerns over smart meters justified? Knowledge worth keeping Visit the Downloads section of Utility Week's website http://www.utilityweek.co.uk/ downloads Smartest Energy: Energy Entrepreneurs Report http://bit.ly/1kzddrn IBM: Smarter Asset Management http://bit.ly/Xx7myx