11

WICS publishes its proposed methodology for the forthcoming Strategic Review of Charges.

5

4

During and after each strategic Review of Charges there is a process of ongoing monitoring, review and stakeholder feedback; the outcome of this review process informs the Scottish Ministers’ future Objectives and WICS’s methodology for future Strategic Reviews.

WICS publishes a draft determination for consultation.

WICS publishes papers setting out its thinking for the forthcoming determination. Stakeholders comment on these papers and WICS adjusts its views in the light of the responses received.

7

Charges determination process

WICS publishes its final determination settings out the maximum amount of charges Scottish Water can levy in its customers during coming regulatory control period to ensure that Scottish Water is reasonably funded to deliver Scottish MInisters’ Objectives in a manner consistent with the Statement of the Principles of Charging.

WICS considers the responses to the draft determination and any amendments to the Scottish Ministers’ Objectives or Statement on the Principles of Charging.

6

The Scottish Ministers finalise their Objectives and their Statement on the Principles of Charging in the light of the conclusions of the draft determination.

1

9

The Scottish Ministers ask WICS to conduct a Strategic Review of Charges

8

The Scottish Ministers publish draft Objectives and Principles of Charging for consultation.

Scottish Water has 60 days to decide whether to accept WICS’s final determination or to refer it to the Competition and Markets Authority for a redetermination.

10

Around the beginning of February (and annually thereafter), Scottish Water has to set out the charges it proposes to set for particular groups for customers in its Scheme of Charges. It has to agree this Scheme of Charges with WICS.

2

3

12

There ensures an iterative process through which Scottish Water explains what it thinks it needs, and the Scottish Environment Protection Agency, the Drinking Water Quality Regulator and Citizens Advice Scotland explain their views.

The Scottish Ministers ask WICS to conduct a Strategic Review of Charges