Ofwat has confirmed the suspension of market performance charges will end on the 31 December for non-household water retailers.
It said the invoicing and payment of charges under the Market Performance Framework (MPF), which was temporarily suspended during lockdown, would resume from 1 January 2021.
Georgina Mills, director of business retail market at Ofwat, wrote to market operator MOSL to confirm the reinstatement of the charges in relation to both operational and market performance standards (OPS, MPS) for retailers.
The regulator said from 1 January both OPS and MPS would come back into effect, with invoices to wholesalers and retailers to commence from February.
It said it may consider a further extension to the suspension of MPS charges if there is another national lockdown but the suspension of OPS charges is not expected to be extended.
Ofwat notified MOSL to report the level of both MPS and OPS that would have been due by retailers or wholesalers but confirmed the amounts would not be payable.
In March and April a series of measures were implemented to protect business customers during lockdown and bolster the market from systematic retailer failure. The measures, including flagging premises as vacant and the deferral of wholesaler charges, were wound down after the first lockdown.
Some retailers have called for protections to be extended as many business customers continue to experience trading difficulties through the second lockdown.
This week MOSL announced it has signed up to the Energy and Utilities Skills Partnership Inclusion Commitment as part of its commitment to promote diversity and drive change in the sector.