REG-NorthumbrianWaterGrp Ofwat Announces Final Price Limits

Released: 26/11/2009
http://pdf.reuters.com/Regnews/regnews.asp?i=43059c3bf0e37541&u=urn:newsml:reuters.com:20091126:RnsZ1239D
                                                                                                                       .
RNS Number : 1239D  
  
Northumbrian Water Group PLC  
  
26 November 2009  
  
26 November 2009  
  
Northumbrian Water Group plc  
  
(the Company or the Group)  
  
Ofwat announces final price limits  
  
The Group's principal subsidiary, Northumbrian Water Limited (NWL), has received 
Ofwat's final determination of price limits to be applied during the period 2010 
to 2015.  This is Ofwat's response to the very detailed Business Plan submitted 
by NWL in April 2009 and the consultation following the draft determination 
issued by Ofwat in July 2009.  
  
Ofwat's proposals allow average annual household bills to rise, in real terms, 
by �14 over the five-year period to �313 in the North East for water and 
sewerage services. For water services in the area served by Essex & Suffolk 
Water, the proposals see bills rise by �21 to �190. The proposals include an 
investment programme of over �1.2 billion (2007/08 prices) with CIS ratios of 
103 (water) and 101 (sewerage). The proposals also include challenging annual 
base operating efficiency targets of 1.2% (water) and 2.4% (sewerage).  
  
Managing Director, John Cuthbert said: "The proposed price limits are just one 
part of a detailed pack of information provided by Ofwat.  The NWL board need to 
consider the detail carefully before reaching a conclusion on the final 
determination and the Group Board will make an announcement in due course."  
  
For further information contact:  
  
 
  Northumbrian Water                   0191 301 6419  
  John Cuthbert, Managing Director                    
  Chris Green, Finance Director                       
  Pelham PR                            020 7337 1509  
  Chelsea Hayes                                       
  Archie Berens                                       
  
  
 
This information is provided by RNS  
  
The company news service from the London Stock Exchange  
  
  END  
  
MSCIIFETLTLRFIA