A Compelling Approach

In an industry dominated by questions about public and private ownership, regulated and unregulated companies, and strategy, finance and policy that go far beyond the regulatory, economics consultancy has a crucial role to play. Since the privatisation of the UK water industry in 1989, we have become the leading source of independent advice in the sector. Government agencies, regulators, and water companies (both public and private, and increasingly outside the UK) have sought our innovative thinking to help them argue their case convincingly. Whatever your objectives in the water sector, we can enhance your position by reducing risk and adding value.

  • Corporate finance
  • Efficiency measurement, and performance assessment
  • Competition strategy and implementation
  • Incentive design
  • Transactions advice
  • Tariff design and pricing decisions
  • Risk and scenario analysis
  • Impact assessments of environmental policy and regulation
The Oxera CV
  • Advised on regulatory reform and incentives to Ofwat for the 2014 periodic review of water charges (PR14)
  • Advised a number of water companies in England and Wales on business planning in preparation for PR14
  • Advised a group of water companies on the TOTEX methodology being developed by Ofwat for PR14
  • Advised South Staffordshire Water for the Competition Commission’s merger inquiry with Cambridge Water in 2012
  • Providing ongoing advice to the Water Industry Commission for Scotland (WICS) on the strategic review of charges (SRC2015-21), and on retail competition
  • Advising on the potential impact of new regulatory frameworks in Europe, including in Italy and the Netherlands
  • Advising a water and sewerage company in England and Wales on its competition and regulation strategy
  • Assessing of the financial implications of proposed regulatory changes on a water and sewerage company, based on interviews with debt investors and credit rating agencies
  • Performed regulatory due diligence advice for the proposed acquisition of a water company in England and Wales

Oxera were our economic advisers, working closely with us and a team of lawyers, for the mandatory six-month Competition Commission inquiry. Oxera's experience, expert insight and analysis, and evidence at the hearings, and staff meetings, were invaluable in helping to steer the case as well as the final outcome. The analytical work they did for our Initial Submission and the models submitted to the CC became key evidence for the case, were subsequently used by the CC and included in their final report, setting precedent for future merger inquiries. Their team of consultants provided not only first-class economic analytical work, but they also provided a truly professional service, providing regular project updates and always meeting the (often extremely tight) deadlines, and helped to ensure that our senior management team was well prepared for the hearings. The CC officially cleared the merger unconditionally.

— South Staffordshire Water