Looming water shortage concerns for the future caused by climate change and population growth have triggered MOSL, the non-household market operator, to re-examine its purpose and vision based on “unlocking value and choice for customers”.
In its annual review, MOSL said the very real and immediate threat of climate change and water scarcity have caused the organisation to reconsider what it means by ‘value’ and ‘choice’.
To emphasise the importance of the market deliver for customers against environmental expectations, ‘value’ should incorporate how customers value water and the impact their water usage has on supply/ demand challenges and associated carbon emissions.
Likewise, ‘choice’ should reflect the ability for customers to choose to better understand their water usage and to make informed decisions around using less water or about when they use their water.
MOSL said it would continue to reflect on its vision and purpose in recognition of the ever-changing operational landscape and work with trading parties to deliver on market commitments.
Reflecting on the year 2021/22, the report highlighted gains made to its Bilateral Transactions Programme, which was designed to simplify wholesaler-retailer interactions that had often been cited as a significant market friction point.
The programme standardised 67 processes during the year resulting in 78% satisfaction in user feedback since launching in October 2021. MOSL said costs are expected to be 30% higher than forecast in the business plan, but added “benefits are expected to increase by a greater amount”.
It said time savings by trading parties in managing bilateral transactions are forecast to be double what was anticipated. The final phase of the programme is due to complete in November.
Sarah McMath, chief executive, said the group’s priorities for 2022/23 are:
- Delivering the final phases of the Bilateral Transactions Programme
- Increasing insight into customer and consumption data to better understand how, when, why and where customers use water then sharing this with the market to help demand / supply challenges.
- Progressing the Market Data Strategy to make the quality and availability of market data better.
- Delivering on the main themes of the metering review to support water companies’ PR24 investment in metering
- Challenging inefficiencies in the market and participating in wider sector challenges