What is the Open Water Market?

What is the Open Water Market?

Open Water Market, in other words, known as Market Deregulation is related to the new business retail market opening in the water industry in England and led by OFWAT, Defra and MOSL.

With all the new legislation and changes to water and wastewater supply, we appreciate it can be a little difficult to gain a firm grasp on exactly what is going on. So we have created this landing page solely as a source of education. No sales talk, no jargon, no fuss or frills – this content should help you understand exactly what is going on in the water market.

Thanks to legislation introduced on April 1st 2017 some serious changes came about, that have profoundly affected the way Businesses contract for their water and wastewater supply.

Previously, businesses had no choice in choosing their retail water and wastewater service, but thanks to the Department for Environment, Food & Rural Affairs (Defra) and The Water Services Regulation Authority (OFWAT) to a change in legislation, there is now room for new companies, dedicated to water and sewage management, to emerge. This means the water will all still come from the same source, the wholesaler. However, retail water businesses now have the opportunity to purchase this water and resell it onto customers. This middle-man is an entirely new concept and one that is set to change the face of the water and wastewater supply industry.

This is because each water retail company will pay the same per unit for their water (from the wholesaler), so they won’t be competing on price. Essentially, all the behind the scenes activity will remain the same. Rather, they will compete in their level of added value in delivering and supplying your water. However, independent companies will now:

  • Consolidate all your bills into one monthly payment
  • Read your meter
  • Be responsible for customer care
  • Advise on reducing your water usage

This has created a competitive water market, which means for the first time ever businesses have the opportunity to choose their water and wastewater supplier on cost, customer service level and efficiency.

The Government has introduced this strategy as a way of forcing innovation in the sector, which for quite some time has remained stagnant. At First Business Water, unsurprisingly we think this is a marvellous idea and having been in the water industry for years we are rather excited to get started.

If any of this seems confusing, you have any further questions or would like any further impartial advice, feel free to give a member of our team a call on 0800 849 1342 or an email on contactus@firstbusinesswater.co.uk 


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