Utility Week

Customers UTILITY WEEK | 16TH - 22ND MARCH 2018 | 27 England's second largest water retailer, Castle Water, has been warned to address "unacceptable levels" of customer complaints by the Consumer Council for Water (CCWater). The water watchdog said it has been "increasing the pres- sure" on the retailer aer several months of high complaint levels from businesses and other non- household customers. WATER Castle Water to address 'unacceptable' number of complaints Castle Water accounted for around 44 per cent of the 1,630 complaints CCWater received about retailers operating in the non-household market in Eng- land between 1 September 2017 and the end of February 2018. Complaints about Castle Water were more than double the industry average, when consider- ing the total number of supply points, the watchdog revealed. CCWater said it was encour- aged to see "signs of improve- ment" in complaint numbers and call handling in February, but stressed it wants to see this trend continue over the long-term. CCWater's London and South East chair, Tony Redmond, said: "Many of the businesses that have contacted us have been angry and frustrated at Castle Water's handling of their accounts and This week Ofgem releases first paper on price cap Energy stakeholders have until 26 March to respond to Ofgem's early 'evolving' thoughts Energy stakeholders have until 26 March to respond to Ofgem's early "evolving" thoughts on how it will set the price cap to protect domestic consumers on standard variable tariffs (SVTs) or other default tariffs. The regulator released the first in a series of working papers about the design and implemen- tation of a cap on 12 March. It was tasked with the move following the government's introduction in February of the Domestic Gas and Electricity (Tariff Cap) Bill, currently going through parliament, to limit how much energy firms can charge customers. "Working Paper #1" takes into account the overall design questions about the cap, which needs to be brought in "as soon as practicable", reflect an "efficient level of costs" and "enable suppliers to compete and maintain incentives for domestic customers to switch". Any mechanism would also need to allow for regular price reviews, at least every six months. Proposed licence changes are due out in August, assuming the government achieves Royal Assent for its price cap legislation before the summer recess. A second working paper in April is expected to cover how market pricing data can be used to set the level of the cap and update it over time. Ofgem is also planning to publish further working papers by May 2018 covering issues such as the principles underpinning the level of headroom suppliers will have in order to compete and the regulator's approach to estimating companies' own operating costs, including smart metering. The regulator is calling for feedback within two weeks of the publication of each paper. The series will be followed by a formal policy consultation. SH WATER Anglian faces strike action over pensions Anglian Water could be facing strike action over pensions, aer unions accused the company of "seeking industrial unrest" over the closure of its final salary pension scheme. Trade unions GMB, Unite and Unison claim Anglian Water "refused" to enter talks at the Advisory, Conciliation and Arbi- tration Service (ACAS) over the closure of the pension scheme. But Anglian Water has told Utility Week the unions "refuse to be open about what support there is for their position". The company said more than 2,000 staff members took part in a consultation on the creation of a new pension scheme. The unions said they held a "last ditch meeting" with Anglian Water's chief executive Peter Simpson on 8 March to seek the involvement of ACAS to resolve the dispute. They claim Simpson told the trade unions to "ballot for industrial action" as he was not prepared to attend any meetings with ACAS. A spokesperson for Anglian Water told Utility Week: "There is no reason to go to ACAS while the unions refuse to be open about what support there is for their position, if any. In contrast, more than 2,000 colleagues took part in our consultation on the crea- tion of our new pension scheme. We drew on the expertise of advisers from across the sector to create a fair package for all. "We simply do not believe the unions have support for their position. Their posturing is wholly unrepresentative of peo- ple who work at Anglian Water." A statement from the unions said: "Anglian Water will certainly 'love every drop' they can wring out of employees' pen- sions, they will use the proceeds to prop up their already vast profits and this will amount to an incredible shortfall for employ- ees, making it much more diffi- cult for them in their old age than it otherwise might have been." ELECTRICITY EDF and Rolls-Royce sign Hinkley deal Rolls-Royce has signed a con- tract with EDF Energy to provide heat exchangers for the nuclear island systems at Hinkley Point C power station in Somerset. The car manufacturer was selected as preferred bidder for the heat exchangers in 2016, and will also supply the primary, liquid and gaseous waste treat- ment systems, and ultimate diesel generators. A team of 80 Rolls-Royce engineers and supply chain specialists at its Derby, Barn- wood and Warrington bases are currently working on the project. Stuart Crooks, EDF Energy's Hinkley Point C managing direc- tor, said: "We have already signed over £9.5 billion of contracts and [this] news is further evidence of the positive impact the project is having on British jobs, skills and industrial capacity." First steps: initial working paper released complaints. We've made very clear to the company it needs to do better and we will continue to shine a light on its performance and any other retailers where we have serious concerns." Responding to CCWater's crit- icism, Iain McPherson, customer services director at Castle Water, said: "We are not complacent, and are continuously improving our services for all customers."

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