Company strategy

Investor confidence remains high under tough regulation

The tough stance adopted by Ofwat has challenged the water sector and reassured its investors, according to S&P Global Ratings. Despite difficult times ahead and lower ratings, water remains a sound longer-term investment, thanks in part to the firm regulatory framework the companies operate in, a senior director told Utility Week.

Ofgem investigates whether Utilita overcharged customers covered by PPM cap

Ofgem is investigating whether Utilita broke the rules on overcharging customers under the pre-payment meter cap. Specifically the investigation relates to the period from May to September 2019.

Gnergy may have licence revoked over unpaid RO

Ofgem has issued challenger supplier, Gnergy, with a notice of failure to comply with a final order, over its outstanding renewables obligation payments. As Utility Week revealed yesterday, Gnergy is the sole remaining supplier to owe such payments, with the rest having either paid or ceased trading.

Everything has changed – yet nothing has changed

Utility companies cannot allow themselves to become complacent about their commitments to society and the environment, despite the sudden certainty provided by the general election. Sustainability First director, Sharon Darcy, sets out the ways in which the sector can deliver on fairness and green pledges and how the regulatory regime can align to support this.

A peaceful new year to you all… for now

Utility Week magazine editor, Suzanne Heneghan, looks at what is likely to be in store for the sector in 2020 - including an overhaul of the policy machine, the next steps on the net-zero journey and further debate over the evolution of the grid.

Gnergy remains only supplier to owe outstanding RO payments

Ofgem has confirmed that Gnergy is the only energy supplier to owe outstanding renewables obligation payments. Last month Ofgem revealed that suppliers, many of whom had already left the market, owed almost £100 million in RO payments.

On the Move – Yu Group appoints new chairman; Good Energy announces CFO

A number of senior appointments have been announced by two utility companies. Yu Group has appointed a new chairman while Good Energy brings in a new chief financial officer.

Fears over supplier failures see a ‘move back to big six’

With 17 suppliers ceasing to trade over 2018-2019, there has been a suggestion that the failures have resulted in customers moving back to the big six. The boss of an auto-switching service says his company look out for signs companies are in trouble and refuses to switch customers there.

Capacity Market mutualisation ‘no longer required’

The Electricity Settlements Company has scrapped a potential supplementary mutualisation process and confirmed providers will be paid in full this month for the period the Capacity Market was suspended.

Fitch: Ofwat has moved positively on PR19 but pressures remain

A senior director at ratings agency, Fitch, has said Ofwat’s final determinations (FD) are an example of the regulator listening to the sector. Maria Fassakhova told Utility Week that while significant pressures remained on water companies, she did not expect many to take the risk of appealing to the CMA.

‘Greta effect’ sees 50% use less energy than in 2018

Almost half of UK households are already using less energy than in 2018 due to more awareness of climate change, research from Igloo Energy has claimed.

Technological innovations to watch in 2020

What digital strategies are likely to drive the sector forward over the next 12 months? Graeme Wright, chief digital officer for utilities at Fujitsu UK, gives his top six predictions.

Thames: 2020 must be the year of the water label

Severn Trent launches community fund

Weekend press round-up: Wales & West clashes with Ofgem

Reports in the national press this weekend include Wales and West, owned by billionaire Sir Li Ka-shing, saying it is ‘deeply concerned’ about Ofgem’s price controls, which it believes could threaten its financial health. Meanwhile, Orsted has cut several jobs as the company shifts its focus towards its corporate customers.