Utility consultancy closes in on water retail

Utility consultancy Advanced Demand Side Management has said it wants to enter the non-domestic water retail market.

Advanced Demand Side Management (ADSM) assists organisations in the private and public sectors to reduce water and energy consumption.

The company has applied to water regulator Ofwat for a water supply and sewerage licence (WSSL). It said it wishes to enter the market to sell retail water and sewerage services, as a “natural progression” to its existing business model.

This latest WSSL application means 22 companies have now applied to provide water retail services in the new market.

First licences were granted at the beginning of October 2016. Successful applicants were: Anglian Water Business; Castle Water; Clear Business Water; Kelda Retail – now part of Three Sixty – Northumbrian Water Business – now Wave – Severn Trent and United Utilities, on behalf of Water Plus; South Staffs Water Business; SES Business Water; and Water 2 Business – a joint billing venture between Wessex Water and Bristol Water.

Business Stream, Cobalt Water, Pennon Water Services, Thames Water Commercial Services (which has since decided to exit), and Affinity for Business have also been successful in obtaining licences.

South East Water Choice has applied for, and been granted, a sewerage licence, in order to provide its existing customers with a combined water and sewerage bill. It has also applied for a WSSL through its subsidiary Invicta Water, which will trade as Water Choice South East.

Recent applications have come in from Veolia Water, Everflow, and Peel Water.

Meanwhile, water management firm Waterscan and commercial gas supplier subsidiary Regent Water – both of which applied last September – have yet to be granted licences. Ofwat said it is in the final stages of processing these applications and expects to make a decision “in due course”.