Media

April Fool article in Utility Week 2009

1st April 2009 media

Government plans joint water and energy watchdog

Written by: Ralfi Loop | 01 April 2009

The government has drawn up plans to create a unified regulatory body covering the water and energy sectors across mainland Britain.
UtilityWeek understands that that the new organisation will be known as Ofsweg (the Office for Sewerage, Water, Electricity and Gas). This move will be highlighted in the Budget announcement later this month.

The new watchdog will bring together Ofgem, Ofwat and Wics, the Scottish water regulator.

UtilityWeek understands that one aim of this initiative is to achieve economies of scale. It would also emulate the joint regulatory model of utility regulation established in Northern Ireland.

Ministers are understood to have invited regulatory guru Dr Dieter Helm to be the chairman of the new body. Alan Sutherland, chief executive of Wics, is apparently the front runner for the first chief executive post.

Creating the new regulator would require primary legislation and approval from Westminster and the Scottish and Welsh devolved administrations.

To avoid offending national sensibilities and for tax purposes, Ofsweg will initially be based on the Isle of Man. Later it may relocate to Belfast to share best practice with the Northern Ireland utility regulator or rotate its meetings between London, Edinburgh and Cardiff.