Ofwat to consult on changes to Regulatory Accounting Guidelines

Water regulator Ofwat has proposed a number of changes to its Regulatory Accounting Guidelines (RAGs) which set out in detail how water companies must treat particular items where disclosure and reporting requirements go further than those normally required under company law.

Companies must use these guidelines to complete their annual performance report, which is in turn used by Ofwat and other stakeholders to allow easy comparison of each company’s performance.

Under the changes proposed by Ofwat, water companies would face expanded disclosure requirements in a number of areas including:

  • Greater transparency and clarity about the financial returns to companies’ equity holders each year; and,
  • A requirement for companies to report on the money they receive from customers and spend each year to reinforce their networks, and an explanation for the difference.

The RAGs have been amended to take account of an exercise carried out by Ofwat in December 2018 to set out all water companies’ licence obligations in clearer, more accessible language.


Leave a Reply

Your email address will not be published. Required fields are marked *

Our Latest Posts

May 12, 2024

In exactly one year, on May 12th, 2025, the Institute of Water (IWater) will be celebrating its 80th anniversary! In 1945,…

Read more

April 22, 2024

Happy World Earth Day 2024! Today, as we celebrate, it’s an opportunity to reflect on our collective commitment to preserving and protecting…

Read more

March 22, 2024

As we come together to celebrate World Water Day, let us reflect on the vital importance of water in sustaining…

Read more

March 15, 2024

Excitement is brewing as Utility Week Live 2024 approaches. We are once again partnering with this fantastic event, delivering a…

Read more