Leader

Utilities can’t always shift the blame

There is such a sense of déjà vu about entering another winter without a proper plan to protect vulnerable customers from rising bills that even writing this sentence is like Groundhog Day.

It was a point acknowledged at Utility Week’s Consumer Vulnerability & Debt Conference last week, highlights of which you can read overleaf.

It is no criticism of the speakers throughout the day but many of the themes that emerged were ones we have been discussing for many years. Whether it is social tariffs, signposting to third parties or sharing data, the same hurdles seem to be there.

It was a point directly addressed by one of our audience members, who asked our speakers what they could commit to in order to ensure that next year the debate has progressed.

The obvious caveat is that utilities are constrained in what they can achieve by the straitjacket of policy and regulation.

This is undoubtedly true but it is also a convenient shield that both energy and water companies too often reach for. Yes, government does need to finally deliver a comprehensive plan to identify those in most need of support and offer support in the face of ballooning bills. This is most pressing in energy but is increasingly necessary in water, as Utility Week has long been saying.

And, yes, it looks like we are heading for another fudge on energy bills this winter, with the Treasury reportedly preparing a £1 billion support package, which it is thought will use the inelegant metric of the Warm Home Discount. It is remarkable that a £1 billon could ever be considered a paltry amount but it would pale in comparison to a properly targeted scheme – which is apparently being worked on in the background.

It also true that water and energy companies are regulated businesses, who need to account for their actions to both their shareholders and watchdogs. That point is often used to attack utilities but it’s just a statement of fact. As Alex Wilkes, customer director at South Staffs Water, put it eloquently at the conference, companies need to “make the business case for social value”.

Well, are they? There’s lots of evidence that they are. Utilities may be privatised but the industry is still pervaded by a sense of public duty and many of the projects showcased at last week’s conference would not be possible in a purely profit-driven model.

But utilities can and should do more. At every industry conference the word ‘collaboration’ comes up time and time again. But is it really happening on the ground? And, if so, is it going beyond conversations into tangible actions?

I want to challenge utilities to tell us the answers to these questions. Where are you pooling talent and building on the progress of others? And what does it mean for customers?

Let’s break the cycle of déjà vu and give ourselves something fresh to talk about.

And where better to start than Utility Week Forum, where we’ll be tackling the big issues of the day with a stellar line-up of speakers. Join us on 25-26 November to share how you’re changing the narrative.