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The government’s service standard guidelines for connecting new developments to the water mains are “anti-competitive”, according to the self-lay organisation (SLO) group Fair Water Connections.
SLOs compete with the incumbent water companies to provide water connections for new developments, but Fair Water Connections managing director Martyn Speight told Utility Week a double standard in the government’s guidelines is “anti-competitive”.
The government’s Better Connected document compels water companies to connect new developments to the water mains within 90 days, but no such deadline exists in the guidelines when completing connections for self-lay companies. This means the SLOs are prevented from offering developments the same guarantees for water connections as the incumbent water companies they compete with.
Speight added: “A self-lay company can’t give the [90 day] guarantee because they are reliant on a third party to do work, which isn’t guaranteed to be done over the same timescale.”
Regulator Ofwat admits it has “long standing concerns” in the area of new connections but that the companies are “moving in the right direction”.
The regulator highlighted that the service standard measures in the Better Connected document are only draft standards and only reflect the initial engagement.
A spokesperson said: “There is still work and engagement to do before their plans are finalised, so the sector can make sure all customers’ needs, including self-lay groups, are met. If companies do not rise to that challenge, we will step in.”
Water UK defends the draft standards saying they were still being consulted upon and had not yet been finalised, with further discussion on the standards set to take place on 23 January.
The trade association’s legal and policy advisor David Strang told Utility Week the measurement of mains connection service standards does not change the water companies “underlying legal obligations” to provide timely connect self-lay pipes to the mains.
He said: “The document is merely about measuring a set of performance standards. All of our members are acutely aware not to discriminate against self-lay operators.”
A government spokesperson said the Better Connected standards are “being trialled” and that it “encourages everyone with an interest, including smaller businesses, to tell us their views.”
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