First published by Matt on May 06, 2020 in the following categories: Consumer Law Industry Investigations Latest Pricing and tagged with cma | competition law | consumer law | investigations | pricing | utilities
The Ofwat price determinations case follows a referral by four major water companies in the UK in relation to price controls that are set to go into effect for the next five years.
Price controls for the water market are put in place for the protection of the consumer. They can ensure that water is affordable and available to all, but the controls must account for the fact that private companies are providing water services and competing in the market.
If new price controls are rejected by any of the UK water companies, the matter can be referred to the Competition and Markets Authority (CMA). The CMA can make its own separate determination as a regulator with similar duties to Ofwat.