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WSL 11/06
8 September 2006 Dear Colleague
Modifications to guidance on access codes
In June 2006 (WSL 05/06) we consulted on our proposed modifications to the guidance on access codes. The proposals related to five key areas:
1. Application fees and other costs.
2. Wholesale water supply by primary water undertaker – application process.
3. Combined supply stage 2 – initial application.
4. Reasons for objection to the licensee's proposal.
5. Credit provisions/bonds/guarantees.
In July 2006 (WSL 09/06) we proposed to abolish application fees for a short time to allow licensees to enter the market more easily, and instead allow water undertakers to recover the costs of handling applications from large users. The details of this alternative proposal were set out in the 'monthly update' issued to stakeholders on 27 July 2006.
After assessing responses to WSL 05/06 and the monthly update, we have decided not to pursue the alternative. The reasons for this and the revised policy are explained in more detail in the enclosed consultation responses document and replacement pages for the guidance on access codes. Consequently, the moratorium (also set out in WSL 09/06) on the charging and recovery of application fees ends with the publication of our revised policy on fees.
We attach the following documents:
1. Consultation responses document.
2. Replacement pages for chapters 3 and 4 of the guidance on access codes.
3. Replacement contents page for the guidance on access codes.
4. Revised access code template, following work by the Operations Advisory Group.
Any enquiries on this letter should be referred initially to Suky Khangure on 0121 625 1410 or by e-mail to sukvinder.khangure@ofwat.gsi.gov.uk.
Yours sincerely
Keith Mason
Enc
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