Joint venture pools water groups’ resources
A JOINT venture has been created between two utilities groups to take advantage of the opening up of the non-household water retail market in April.
South Staffordshire and Pennon Group have created the fourth largest non-household water retail business, which will operate as Pennon Water Services (PWS).
It will have a combined customer base of 180,000 accounts with 8% share of the non-household market.
Pennon Group, which owns South West Water and Viridor, will take an 80% equity stake in the enlarged business, with South Staffordshire taking the remaining 20%.
South Staffordshire’s existing in-area trading names of South Staffordshire Water Business and Cambridge Water Business will be retained, with Source for Business being the out-of-area national brand name.
Adrian Page, chief executive at South Staffordshire, said: “This joint venture will deliver a bigger national footprint and increased opportunities for growth and service delivery.”
The water retail market is opening up from April, when businesses and other non-household customers in England will be able to choose who they buy their water and waste water services from.
