Interim - Incentive Mechanism True-Ups and RCV Allocation

The role covers a range of activities within the Water2020 programme of work. Initially the main focus of the work will be on the work that is necessary to carry out the reconciliation calculations for 2014-15 for the PR09 incentive mechanisms. However the role is will also cover other activities in the Water2020 programme of work. This could include work required to allocate the RCV to sludge and water resources activities.

2014-15 reconciliation

In December 2015, we issued an information request to all companies to provide us with the information necessary for us to reconcile the rewards and penalties (‘incentive mechanisms’) they should face for their actual performance in 2014-15 and the whole 2010-15 period. The information requested relates to 2014-15, as the reconciliations necessary for the years 2010-14 were addressed in the PR14 price determination.

The true ups will be calculated for the following PR09 incentive mechanisms:

The reconciliation will be performed for the following PR09 incentive mechanisms.

We will receive this information from the companies on 29 February 2016. We have committed to review the information we receive and publish the draft of our assessment of the true-up in ‘Summer 2016’ followed by a final assessment.

This role will be to direct a multi-disciplinary team that is responsible for carrying out the true-ups. The team is already in place and comprises a team of individuals that worked on the true-ups for these incentive mechanisms at PR14. The project director will:

Following issuance of the draft assessment, it is envisaged the project director may be required to attend meetings with companies as required and project direct the update for the final decision document.