South West Water

We have a particularly strong track record at South West Water, having supported them since 2011 through the development of the business plan submission for the 2014 periodic review of prices (covering 2015 to 2020) and again for the 2019 periodic review of prices (covering 2020 to 2025).

 

Our team has have helped South West Water a range of activities, including:

  • Asset modelling and scenario analysis for non-infrastructure assets

  • ​Investment Manager – used for plan balancing

  • ​Customer and stakeholder engagement, including customer valuation, business plan acceptability testing and incentive research

  • ​​Charging/tariffs support

  • Developing regulatory incentive mechanisms    

 

South West Water is the only company to have been awarded fast track status by Ofwat in both 2014 and 2019 for its leading business plans, and we are pleased that this is in part due to the high quality customer research and regulatory economic analysis we have provided to them.

In more detail our support for South West Water has included

Investment appraisal and business plan development

  • Asset modelling, data analytics and scenario modelling

  • Cost benefit analyses

  • Scenario planning

  • Plan balancing – using Investment Manager and other decision support tools

  • Stakeholder engagement support

 

Customer research

  • A wide range of qualitative and quantitative research, including customer co-creation activities.

  • Customer willingness to pay; business plan acceptability testing; and research to understand customer views on future priorities, asset health and resilience, incentive mechanisms, corporate responsibility, affordability, etc.

  • Triangulation of customer willingness to pay evidence to support the development of business plans and outcome delivery incentives.

Regulatory Economics

  • Development of outcome delivery incentive mechanisms based on customer evidence and in line with regulatory principles, including asset health incentives.

  • Financial modelling – e.g. tariffs and water bill affordability, RCV modelling and allocation, the impact of outcome delivery incentives on the RORE P10 and P90 levels

 

 

We continue to support South West Water with business as usual activities.

Case Studies