The water regulator OFWAT considers changes to the water self supply process.
What is water self supply?
In certain circumstances your business or organisation can buy water directly from the wholesale water market.
Buying water direct from the wholesale water market cuts out the water retail margin, but the challenges are that the wholesale to water retail margin in England is so low in most cases there is little financial benefit.
The expert advise is commission a self supply feasibility study, the results will determine whether you invest any more time on the subject for now.
At the moment obtaining a self supply licence is quite complex, however OFWAT is seeking to overhaul the process and reducing the water self supply fee from the current £5,250 to £3,000.
The various open consultations run from March 23rd and April 3rd 2018.
Up until now 4 companies applied for a water self supply licence and more recently a public sector organisation Blackpool Council has applied.
Though in this case a figure was quoted in the media in respect of the first years savings of £50,000 as a direct result of going water self supply.
Although water consultants H20 Building Services have disputed this figure as “pie in the sky” we would hope Blackpool Council would formally confirm this number at some point in time.
Further up date during April 2018 from OFWAT.
Water self supply is not for everyone.