18 September 2007
Households in Bristol and could face higher water bills over the next two years.
The Consumer Council for Water Western has issued an alert to customers regarding possible price increases of around £15 in the Bristol area to be spread over 2008 and 2009.
Bristol Water has asked Ofwat to review its price limits over the next two years as the assumptions Ofwat made about revenue when it set the price limits have not been meet. Bristol Water have cited three reasons for the loss in revenue; more customers opting for free water meters than Ofwat forecast, the level of unpaid bills has led to a shortfall and higher water abstraction charges levied by the Environment Agency than forecast.
Ofwat will consider Bristol Water's application and launch a public consultation by 1 November. A decision on Bristol Water's price limits for the next two years will be made by 14 December and any increase in bills will take effect from April 2008.
Charles Howeson, Chair of the Consumer Council for Water Western, said: "Any increase in prices is unwelcome, and a potential increase of £15 for the average householder spread over the next two years is a concern.
"However, at the same time the level of service provided by Bristol Water cannot be allowed to slip, and the company must also deliver the improvements to their infrastructure which they are committed to up to 2010," he added.