- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Wednesday, 16 December 2020
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Current Status:
Answered by Roseanna Cunningham on 11 January 2021
To ask the Scottish Government, further to the publication of the final determination of charges by the Water Industry Commission, whether it will publish the assumptions and calculations that give rise to the minimum annual revenue expectation of £1,392 million in 2026-27, and, using the modelling assumptions for the strategic review of charges, what minimum charge would be necessary to generate this level of income.
Answer
This is a matter for the Water Industry Commission for Scotland, and I have asked them to respond directly in writing to your question.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Wednesday, 16 December 2020
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Current Status:
Answered by Roseanna Cunningham on 11 January 2021
To ask the Scottish Government how much Scottish Water, as the owners of Business Stream, has had to make available to it to meet trading challenges during the pandemic; under what terms, and whether any assistance with liquidity is in respect of Business Stream’s trading activities in England.
Answer
No funding has been made available to date. No funding is expected to be required during 2020-21. The funding arrangements have been put in place based on forecasts of the potential future impact of Covid-19 on Business Stream’s financial situation.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Wednesday, 16 December 2020
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Current Status:
Answered by Roseanna Cunningham on 11 January 2021
To ask the Scottish Government, further to the publication of the final determination of charges by the Water Industry Commission, whether the interpretation of the duty to set charge caps at the lowest overall reasonable cost interprets cost as being of investment, or to customers.
Answer
This is a matter for the Water Industry Commission for Scotland, and I have asked them to respond directly in writing to your question.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Wednesday, 16 December 2020
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Current Status:
Answered by Roseanna Cunningham on 11 January 2021
To ask the Scottish Government, further to the publication of the final determination of charges by the Water Industry Commission, what the actual split between domestic and business customers of Scottish Water’s income has been in each of the last 10 years.
Answer
The figures are in the following table.
| Domestic (£m) | Non-domestic wholesale charges (£m) |
2010-11 | 743.493 | 302.404 |
2011-12 | 745.563 | 294.706 |
2012-13 | 750.885 | 296.663 |
2013-14 | 778.809 | 293.633 |
2014-15 | 800.774 | 289.206 |
2015-16 | 820.677 | 291.502 |
2016-17 | 840.021 | 298.273 |
2017-18 | 860.866 | 320.476 |
2018-19 | 881.697 | 323.568 |
2019-20 | 903.673 | 338.242 |
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Wednesday, 16 December 2020
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Current Status:
Answered by Roseanna Cunningham on 11 January 2021
To ask the Scottish Government, further to the publication of the final determination of charges by the Water Industry Commission, whether the general function it has of promoting the interests of persons who might become connected to Scottish Water’s services, is a function that has been given subsequent to the final determination of the 2015-21 period, or existed when that and earlier determinations were made.
Answer
The Commission’s functions are detailed in the Water Industry (Scotland) Act 2002, as amended by the Water Services etc. (Scotland) Act 2005.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Wednesday, 16 December 2020
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Current Status:
Answered by Roseanna Cunningham on 11 January 2021
To ask the Scottish Government whether it will publish the terms of any loan and repayment requirements given to Business Stream by its parent company, Scottish Water, in respect of support through difficult trading arrangements arising from the COVID-19 pandemic.
Answer
Any loan provided to Business Stream will be made by Scottish Water Business Stream Holdings (SWBSH) on arms-length commercial terms, consistent with the Market Economy Investor Principle (“MEIP”) test, based on independent expert advice and benchmarking. The key terms of the loan facility are:
- New funding of £59m - £10m of equity, first tranche £24m debt, and second tranche £25m debt.
- The first tranche debt will attract an interest cost of SONIA (Sterling Overnight Index Average) +3%
- The second tranche debt will attract an interest cost of SONIA +9%
- First tranche debt would be provided before second tranche debt.
- All debt is to be repaid within 5 years. The debt is secured by a floating charge over the assets of Business Stream, granted in favour of the lender.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Wednesday, 16 December 2020
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Current Status:
Answered by Roseanna Cunningham on 11 January 2021
To ask the Scottish Government, further to the answer to question S5W-30856 by Roseanna Cunningham on 13 August 2020 and the publication of the final determination of water charges by the Water Industry Commission, how the figure of £1.5 million quoted as a benefit from international work was calculated.
Answer
This is a matter for the Water Industry Commission for Scotland, and I have asked them to respond directly in writing to your question.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Wednesday, 16 December 2020
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Current Status:
Answered by Roseanna Cunningham on 11 January 2021
To ask the Scottish Government, further to the publication of the final determination of charges by the Water Industry Commission, whether there is any flexibility in the expectation of the level of income to be raised in 2026-27, and whether any expectation is a formal part of the regulatory settlement for the period.
Answer
This is a matter for the Water Industry Commission for Scotland, and I have asked them to respond directly in writing to your question.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Wednesday, 16 December 2020
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Current Status:
Answered by Roseanna Cunningham on 11 January 2021
To ask the Scottish Government, further to the answer to question S5W-31954 by Roseanna Cunningham on 30 October 2020, whether Scottish business customers are insulated from the costs of any trading losses incurred by Business Stream from its trading activities in England.
Answer
The performance of Business Stream in England will have no impact on the wholesale charges levied on Licensed Providers in the Scottish retail market. It is for Licensed Providers to determine the charges that should be levied on their customers but within the constraints of a highly competitive market. WICS also requires Scottish Water under the Governance Code to demonstrate that there is no detriment to Scottish customers from the activities of Business Stream.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Wednesday, 16 December 2020
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Current Status:
Answered by Roseanna Cunningham on 11 January 2021
To ask the Scottish Government, further to the publication of the final determination of charges by the Water Industry Commission, where customers can find the performance measures that Scottish Water is expected to meet over the 2021-27 period that have been previously set out in a final determination.
Answer
This is a matter for the Water Industry Commission for Scotland, and I have asked them to respond directly in writing to your question.