Metering – Media Briefing Note - 26/2/2010
We are changing the way we supply and bill customers for water in the South East of England. Between 2010 and 2015, we aim to install water meters in the majority of homes we supply in Sussex, Kent, Hampshire and the Isle of Wight.
The Southern Water region has been classed as an area of severe water stress. The effects of climate change, with warmer and drier years, alongside the projected population growth in the region will put further pressure on resources.
The metering programme is an important part of our plan for managing the demand for water alongside tackling leakage and enhancing water resources. We will install 487,000 meters in the next five years meaning 93% of our customers will have a meter by 2015.
What are the benefits of meters?
The installation of meters across the region will reduce demand to the extent that it would take until 2035 to return to today’s levels, even allowing for growth in the region and its additional demand on resources.
How will universal metering affect customers?
With a water meter you pay only for what you use. It is a much fairer system and allows you to have control over your water bill by managing your water usage.
Many customers make significant financial savings by having a water meter fitted. They are also reducing their carbon footprint by reducing their water usage and the amount of energy they use to heat water. With one fifth of the power costs in a typical home associated with water use, there are significant opportunities to save on energy bills.
Our customers will not be charged for the installation of the meter.
When will it happen?
We are still planning the detail of the roll out of the metering programme to ensure it is delivered in the most cost effective way for customers.
Meter installations will be programmed on a street by street basis linked to post codes. We will programme all types of installations within the one location to avoid return visits.
We will be contacting our customers ahead of the installation programme reaching their area with further details and then working with them to ensure the best possible customer experience. We are working with the Design Council, Energy Saving Trust and World Wildlife Fund to assist this.
How will customers be charged?
The meter measures the volume of water passing through the pipe into the household. This is measured in cubic metres (one cubic metre = 1,000 litres of water) and bills are calculated on the amount of cubic metres used.
Customers are also charged for the water returned to the sewerage system, which is then treated and recycled back to the environment. We work out bills on the basis that only 92.5 per cent of water goes into the sewers because some is used in the garden or evaporates.
How can customers save water and reduce their bills?
These are our top water and energy tips:
Water & Energy
Kitchen
Bathroom
What is seasonal tariff?
Southern Water’s Seasonal tariff has a volumetric rate that is higher in the summer (June to September) than in the winter (October to May). If used, this means customers would pay more for their water, per cubic meter (1,000 litres), in the summer than in the winter.
These tariffs are set to discourage non-essential use in the summer months when our water resources come under the greatest stress.
This tariff is not designed to have any impact on a customers’ annual bill, providing their water use is typical throughout the year. A customer with a typical consumption profile will pay the same annual charges on either tariff.
The Walker Review, The Independent Review into Charging for Household Water and Sewerage Services, said in its final report published in December 2009: The review team believes that seasonal tariffs show potential for controlling
summer peak demand and for operating in the customers’ interests.
When is this tariff being introduced and for whom?
At present we have included the tariff as one way of charging but it is not being used yet. The tariff is part of our universal metering programme which begins later this year and will give us the option of implementing it as a water efficiency measure, for example, in the event of a drought.
We may use the seasonal tariff only with a new type of meter known as an AMR (automated meter reading). These meters are being installed under the programme and will be capable of providing far more information about water use, including helping to detect leaks. The tariff, if used, would apply to water charges, and not wastewater.
What will the new prices be?
From April metered customers pay 94.9p per 1,000 litres throughout the year for 2010/2011.
If we were to use a seasonal tariff the charges would be:
92.2 pence per 1,000 litres in the winter months (October to May).
99.9 pence per 1,000 litres in the summer (June to September) – this is still one of the lowest charges in the country.
Our average water bill is £131 (wastewater £242). All metered customers have the opportunity to reduce their bills by not wasting water.
