Ofwat guidance on access codes for water supply competition

Superseded: A revised version was introduced in November 2005.

Ofwat guidance (PDF, 90 pages) on the access codes that incumbent water companies must prepare under the Water Act 2003. Ofwat also published its response to consultation comments (PDF, 48 pages) and a template for access codes (PDF, 30 pages).

The sample calculations in the guidance use a rate of 7.3 per cent, apparently an illustrative pre-tax real value equivalent to the allowed cost of capital, in order to value the costs and benefits of cashflow timing differences.

For further information or advice please contact Franck Latrémolière.

Filed under Ofwat, Water.

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