News

Albion Water wins damages of £ 2m from Welsh Water on the Shotton Mill case.

 We are delighted to announce that Welsh Water has been ordered by the courts to pay nearly £ 2m in damages to Albion water for anti-competitive pricing. The competition appeal tribunal judgement closes the last chapter of a long and protracted legal battle over Shotton Paper Mill in North Wales.

Albion Water sued for losses of earnings as a result of unfair prices charged by Welsh Water to access it’s networks so it could supply the Paper Mill with water in a matter dating back to 1999. It sought damages of £3.5m plus interest and punitive damages of £ 10m to set an example to the rest of the industry.

The CAT dismissed the punitive damages claim but awarded Albion £1.6m for loss of earnings relating to supply of water to Shotton and an additional £ 160,000 for losses arising from a lost opportunity to supply water to a nearby Steel Works.

Jerry Bryan, Executive Chairman at Albion Water said “This case sent a clear message to the industry that anti-competitive pricing is not acceptable, I hope OFWAT will now realise the evidence is clear that it was misled by an abusive monopolist (in Welsh Water)”.

OFWAT originally sided with Welsh Water when Albion Water reported its grievances to the regulator, CAT later criticised OFWAT over the way the case was handled.

Notes: Albion Water is a Private Ltd Company licensed by OFWAT to provide water and waste water services, innovation and customer service are at the heart of the business, providing water services for sustainable communities.