Revenues rose by 3.2% from £22.1m to £22.8m ahead of the forthcoming Ofwat price review and that reflected average annual increases in prices of 5.8% that took effect from 1 April 2013. According to Dee Valley, this increase was “partially offset” by “well-flagged decreases in consumption” in the industrial and commercial sectors and by “the impact of household customers continuing to switch from unmeasured tariffs and metered charging”.
Operating expenditure rose 9.6 per cent from 2011/12 levels with power-related costs a “principal driver”, according to Dee Valley. Capital investment increased to £14 million in part due to continued construction of £17.1m the Llwyn Onn water treatment works, which is scheduled for completion in September 2013.
Graham Scott, chairman of Dee Valley, said: Dee Valley Group has recorded a further successful year of providing good quality water to customers at some of the lowest prices in the sector while also investing heavily for the future.
“Financial performance was broadly consistent with expectations and with the results for the previous year.”