How a regulatory system works in practice
A Water Services Association case study

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Page 6: Conclusion

Water Services Association 3 Image 3The periodic review of 1999 provides a challenge for the regulation process in the water industry. Regulation involves maximising the interests of stakeholders in utilities. We will all benefit from improvements to water supplies and sewerage and most people are prepared to pay for such improvements. However, it is essential to strike a balance between the needs to invest in the long-term growth of the industry, the need to ensure high standards of quality for current consumers and the need to reward the shareholders for the risk they are taking in providing investment capital to the industry. Having taken these and other factors into account, the regulator will be able to establish an appropriate and fair charging method for water services in the next century.

Water Services Association | How a regulatory system works in practice