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Assembly Member asks for rethink on 'Valleywood' water proposals

December 12, 2008 12:00 AM

Welsh Liberal Democrat Assembly Member for South Wales West, Peter Black, has written to OFWAT, the water services regulation authority, asking them to abandon their proposal to allow Scottish and Southern Energy to provide water and sewerage services to the Valleywood development near Bridgend following concerns that it will lead to higher bills for local consumers.

Welsh Water has expressed concerns that this proposal would mean that customers living at the site would have to pay more for their water than those living nearby. Welsh Water is a not-for-profit company that pays it's customers a dividend each year, whereas Scottish and Southern Energy, a profit making company which made over £1billion in 2006-07, do not. Welsh Water has also highlighted concerns that the new infrastructure would not be built to the same standard, causing further problems for customers.

"Customers in Wales have been lucky to benefit from the money that they receive back from Welsh Water." said Mr Black. "I would love to see more of our utilities provided by not-for-profit companies. Customers should have a genuine choice as to which water company they wish to use."

"I am unsure what the rationale for this proposal is and have written to OFWAT to express my concerns as a response to their consultation. I have also to asked them to provide me with details of why they believe this would be beneficial to customers, who clearly have to be at the centre of any decision taken."

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