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.
Thames Water has driven down customer complaints by 43% in the past 12 months as part of its eight-year turnaround plan.
The company said its complaint backlogs are down 29% and all customers service phone teams will be based in the UK by next year to support improvements to its C-Mex scores. For 2021-22 Thames was at the bottom of the sector’s customer service rankings.
Sarah Bentley, chief executive, has prioritised customer service in the company’s plans, which began with “getting the basics right” and has not shied away from acknowledging the failings of the organisation.
“The difficult external environment has increased the challenge of our turnaround. Notwithstanding this, we’ve continued to make progress in the last six months,” Bentley said. “We’re embedding organisational changes, including the move to a regional operating model and insourcing the management of our water network, which are bringing us closer to customer and environmental needs.”
The company reported a 5% reduction in its total number of pollution incidents since September 2021 and 60% fewer sewer flooding incidents year-on-year. However, Bentley said there was “still a long way to go,” and noted the recent drought had affected progress on water metrics following a spike in leakage caused by exceptional dry ground conditions.
During the six months to October 2022, the company invested £808 million in improvements and upgrades at treatment sites including Beckton, Coppermills, Kintbury and Speen.
The company cut its electricity consumption by 4% and increased its self-generation of power to 22% of its requirements.
For the six months to 30 September, the company reported a rise in revenue of 3% to £1.1 billion due to higher tariffs however operational costs and high inflation meant earnings before interest, tax, depreciation and amortisation (EBITDA) was down 6% to £556 million.
Gearing fell to 80% – still above Ofwat’s notional company gearing of 60%, but a reduction of 0.6%.
Thames’ shareholders agreed to £500 million of additional equity this year as part of plans to commit a total of £1.5 billion to support the turnaround plan, which exceeded PR19 regulatory allowances.
Please login or Register to leave a comment.