Competition

From 1 December 2005, non-household customers who are likely to use at least 50 megalitres of water per year at each premises are able to choose their water supplier. This is the result of the Water Act 2003, which amends the Water Industry Act 1991 to extend the opportunities for competition within England and Wales.

New water suppliers have to obtain a water supply licence from Ofwat. These companies, known as licensees, will be able to supply water once they have the licence. There will be two types of licence:

• a retail licence, which permits the licensee to purchase a wholesale supply of water from a water undertaker and retail it to customers at eligible premises, and
• a combined licence, which gives supplementary authorisation to the retail licence allowing the licensee to introduce water into the water undertaker’s supply system by means of which any particular supply of water to the premises under the licensee’s retail authorisation is to take place.

Each water undertaker is required to publish an access code setting out the terms and conditions on which it will grant access to its supply system by a licensee. The Access Code for access to Dee Valley Water’s supply system is shown here. Potential applicants should read this access code before initiating the application process. The Code refers to a Wholesale Master Agreement and a Confidentiality Agreement. Dee Valley Water's draft Wholesale Master Agreement and the Confidentiality Agreement are shown here.

Each water undertaker is also required to publish indicative prices as a guide to licensees of the likely level of prices for wholesale and combined supply, for a defined set of scenarios and assumptions. Dee Valley Water’s Indicative Wholesale Prices and Indicative Combined Supply Prices shown here are calculated in accordance with Ofwat’s Guidance on Access Codes. There is one set of indicative prices for each of the two relevant resource zones, and for supplies of 50 megalitres per year and 500 megalitres per year. These indicative access prices are for 2005/06.

The Forecast Supply Surplus for the two relevant resource zones for the next 25 years without a licensee's water or investment by Dee Valley Water is shown here.

Access application forms that can be returned by email or downloaded and returned by post are available. Links to the following application forms are here:

Contact address for applications for access to Dee Valley Water's system are as follows: