REGULATORY · MARKET STRUCTURE · UK
Ofwat proposes £22m South East Water fine
Change
Ofwat has proposed a £22m fine for South East Water for multiple supply disruptions in 2020 and 2023 affecting more than 286,000 people.
Why Now
The proposed £22m fine relates to supply disruption problems during 2020 and 2023 that affected more than 286,000 people. Ofwat said company failures left it unable to cope during periods of high demand or extreme weather, with customers left without tap water and unable to shower, bathe, or flush toilets. Ofwat described the response as slow and disorganised, citing shortages of bottled water, insufficient tankers, and inadequate support for vulnerable customers. South East Water filed for a judicial review of Ofwat’s draft decision and sought an injunction; the court rejected the injunction. The proposed fine does not cover more recent incidents that left thousands of homes without water.
Impact
- • £22m penalty is proposed (not final) for 2020 and 2023 supply disruption incidents.
- • Court rejected South East Water’s request for an injunction against Ofwat’s draft decision.
- • Proposed fine scope excludes more recent incidents that left thousands of homes without water.
Who Recalculates
- • Water utility customers
- • Water utility operators
- • Water sector regulators
- • Vulnerable customer support services
Source
Topics
Law & Public Safety Regulatory Actions Energy & Power Grid & Utilities Climate & Environment Environmental Regulation