The UK water regulator issues its first determination on a dispute on wholesale access prices (Aquavitae / Anglian Water)

I. Facts of the case After a period of negotiation, Anglian Water provided Aquavitae with wholesale access prices for supplies to four of Anglian Water's existing customers. Aquavitae was not satisfied with the wholesale access prices being offered by Anglian Waterand asked Ofwat to make a section 66D(2)(b) determination. II. Conclusions After detailed investigation Ofwat found that the prices should be lower, reducing the amount that Anglian Watercould charge. However, despite this change, the final determination clearly shows that the current Costs Principle framework, which Ofwat is required to use, is restrictive and leads to very low margins. III. Points of interest3.1 Ofwat's Jurisdiction Section 66D(2)(b) WIA91 provides that where a water undertaker and a licensee cannot

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  • University of Aix-Marseille

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Thomas Perroud, The UK water regulator issues its first determination on a dispute on wholesale access prices (Aquavitae / Anglian Water), 28 March 2008, e-Competitions March 2008, Art. N° 16331

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