Standard content for Members only
To continue reading this article, please login to your Utility Week account, Start 14 day trial or Become a member.
If your organisation already has a corporate membership and you haven’t activated it simply follow the register link below. Check here.
Ex-water minister Richard Benyon sounded cheery this week as he tweeted his followers: “on [the] backbenches!” After three-and-a-half years on the frontbench, Benyon may well be relieved to leave the sector behind. He narrowly escapes being the man in charge when the water sector is opened up to non-domestic competition in 2017, and perhaps more importantly, won’t be responsible for deciding the nature of abstraction and upstream reform. Those duties will now fall to his replacement, George Eustice, pending the next election (or any further reshuffles).
As he moves from the backbenches to the centre stage of politics, Eustice has some big decisions to make:
1) Eustice is a member of the Select Committee on the Environment, Food and Rural Affairs. The committee has been strong in its criticism of the Water Bill, highlighting omissions such as smart metering and abstraction reform. What will Eustice do about this now he has the power?
2) Upstream reform is on the drawing board for 2017 onwards, although the Water Bill neatly dodged the details. Eustice will be responsible for Open Water, the forum comprising government, Ofwat and water companies and charged with fleshing out the details of these controversial reforms. How far he will he want to take them?
3) Cost of living is high on the political agenda, and in a recent speech, chancellor George Osborne made reference to unspecified government plans to keep down water bills. To what extent will Eustice interfere in the forthcoming price review and how much pressure can he put on regulator Ofwat to keep bills down?
4) As David Cameron’s press secretary from 2005 to 2007, Eustice is well versed in the dark arts of Fleet Street. With the national media increasingly turning their ire on water companies over perceived tax avoidance and their opaque corporate structures, will Eustice support the sector in the press or use it as a stick with which to beat water companies?
5) The water sector will be opened up to competition for business customers in 2017. Could competition for domestic customers ever follow? Eustice may well be the man to decide.
Ellen Bennett,
Editor
ellen.bennett@fav-house.com
Please login or Register to leave a comment.