From April 2006, 200 new homes at Highland Park, South Ashford, being built by Hillreed Homes, will take part in an innovative water tariff trial.  

All 200 homes will have water efficient fittings and an A+ water efficient washing machine provided as standard.  Over the course of the project, between April 2006 and at least 2010, half the homes will then go on to South East Water’s standard tariff (for 2006/07, 89.98p/m3), while the other half will have the Seasonal Tariff (44p/m3 September to April, and £1.70/m3 May to August).  The Seasonal Tariff is split into 8-months at the low rate when seasonally the water is more plentiful and the 4 months in the summer at the high rate when there is a greater strain on the water supply system.

This tariff structure should encourage customers to be extra careful with water during the summer months, but of course with the significant savings available during 8-months of the year when demand is lower, we believe customers could, with care, make additional savings on their water bills.

The seasonal tariff is being run as a trial with no plans yet to roll this out as a generally available tariff.  Mid Kent Water will collect data over the five years of the trial to see how effective this tariff regime is at reducing demand through the year.  If it is successful, it will we believe help shape the way tariffs are structured in the future, possibly right across the industry.

The trial has been approved by Ofwat, and the tariff is in Mid Kent Water’s published Statement of Charges.     Customers will not have a choice of tariff – this is necessary to ensure we get the best possible data from the trial.  The tariff applies to the property – owners can neither opt on or opt off. 

We believe customers involved in the trial will be no worse off.  The water efficient fittings will significantly cut their usage, with savings on both their water bills and wastewater bills.  It is expected that with careful use, those on the Seasonal Tariff could see additional savings of between 5% and 15%.