Ofwat has set out the way in which it expects all monopoly water companies to report their performance for 2016-17.
The water industry regulator said while expects all monopoly companies to decide how they report on their performance each year, it also expects companies to publish some common information to allow customers and other stakeholders to compare the performance of individual companies to the rest of the sector.
As a minimum, Ofwat expects companies to publish the following:
1. An annual performance report which provides specific information on progress on delivery of customer outcomes, service levels, transparent cost information and financial performance.
2. A risk and compliance statement, appropriately signed off, in which the Board clearly confirms that the company:
- considers that it has full understanding of, and is meeting, all its relevant statutory, licence and regulatory obligations and has taken steps to understand and meet customer expectations;
- has satisfied itself that it has sufficient processes and internal systems of control to fully meet its obligations;
- has appropriate systems and processes in place to allow it to identify, manage, mitigate and review its risks.
Where the company considers it is unable to provide such a statement it should explain why it is unable to do so.
3. A data assurance summary of the results of the data assurance that the company has carried out to evidence that the information provided is accurate.
Ofwat said that where evidence emerges that a company is not providing an assurance or may not be complying with its obligations and commitments it would take appropriate action to protect customers. Any action taken would be targeted, proportionate and progressive in nature – where appropriate starting from informal action and resulting, if necessary, in more formal action.
Companies are due to publish their annual performance report by 15 July 2017. As soon as it is published, Ofwat said it expects each company to provide an electronic link to where the annual performance information is held on its website so a link to it can then be published on the Ofwat website.
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