Wholesale Retail Code Change and Market Arrangements Code Change Proposal – Ref CPM015 and CPW071
| Date | 23 March 2022 |
1
Wholesale Retail Code Change and Market Arrangements
Code Change Proposal – Ref CPM015 and CPW071
Modification
proposals
Market Arrangements Code and Wholesale Retail Code Change
Proposals1 – CPM015 and CPW071
Decision
The Authority has decided to reject this Change Proposal
Publication date
23 March 2022
Implementation
date
N/A
Background
The Market Arrangements Code (MAC) and Wholesale Retail Code (WRC) form part of
the governance arrangements for the business retail market. Section 5 of the MAC
established the Panel to oversee the operation and evolution of the market. The Panel's
duties include making recommendations to Ofwat on Change Proposals.
The Final Report details that at a Panel strategy workshop in January 2019, Panel
Members discussed learning best practice for code administration from the energy
sector. One of the learning points was to introduce Panel self-governance to facilitate
the efficient progression of minor, non-material Change Proposals. As such, the Panel
established a governance sub-group to develop a solution.
The governance sub-group developed two options:
1. Pre-Approval Change Process (the proposed solution), and
2. Expedited Change Process (not pursued)
2
.
The issue
The MAC stipulates that all Change Proposals considered by the Panel must be put to
Ofwat for final decision, irrespective of the materiality of the change.
1
Unless otherwise stated, the terms used in this document are those defined in the drafting of the Market
Arrangements Code and the Wholesale Retail Code as proposed by the CPW071 and CPM015.
2
The expedited change process was not pursued as it included proposals of self-governance which were
not compatible with the Water Industry Act 1991.
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