How does the Scottish water market work?

The Scottish water market was opened up to competition under the Water Services etc. (Scotland) Act 2005. This allows business customers to choose who supplies their water and sewerage services. It also allows new water companies in Scotland to compete for business customers.

The new system is similar to the energy sector, where a range of suppliers provide services without actually producing the energy themselves.

Businesses wishing to join the list of current water suppliers can find out here how to become a supplier.

Who offers water and sewerage services in Scotland?

Scottish Water owns and operates the network of water and sewerage pipes in Scotland. It acts as wholesaler in the market, selling water and sewerage services to the various water companies in Scotland – the ‘suppliers’ – who pay Scottish Water a standard wholesale charge.

Suppliers provide retail services, such as billing, meter reading and handling customer enquiries. Whether you want to change your supplier, or apply for a licence, you can find out who is involved by consulting the current list of suppliers.

Who can switch Scottish water supply company?

If you are one of the 130,000 business customers or public sector organisations in Scotland receiving water and sewerage services, you can choose your supplier, however big or small your business and wherever you are located.

Household customers in Scotland continue to receive their water and sewerage services from Scottish Water and to pay their charges along with their Council Tax.

How do I switch Scottish water supplier?

Switching water supplier is quick and easy. Simply contact the Scottish water supply company that you have chosen and they will contact the Central Market Agency to co-ordinate the switch. Your new supplier may ask you for your supply point identification number, which you can obtain from your current supplier.

They will then contact the Central Market Agency to ensure that the switch goes smoothly. So apart from that initial phone call, you don’t need to do anything to change supplier.

How am I protected if I switch water supply company in Scotland?

To ensure that no customers are adversely affected by the introduction of competition, the Water Industry Commission for Scotland requires all Scottish water companies to offer a standard default level of service for a standard default tariff. This acts as a safety net to protect customers.

The default tariff is no more than the maximum charge that customers would have paid to Scottish Water for their water supply and sewerage services if competition had not been introduced to the Scottish water supply industry. More information about the default tariffs is available on the Water Industry Commission for Scotland's website