The Water Act 2014 (Commencement No. 7 and Transitional Provisions) Order 2016 is the seventh commencement order made under the Water Act 2014 (c.21) (“the 2014 Act”) in relation to England and Wales. Amongst other provisions, this Order brings into force the remainder of section 1(1) of the 2014 Act. Section 1(1) amends the Water Industry Act 1991 (c.56) so that the Water Services Regulation Authority (“Ofwat”) has the ability to grant water supply licences with a wholesale or supplementary authorisation. Sections 29(1) and 30(1) bring into force the Secretary of State’s power to make regulations to apply guaranteed standards of service to water supply and sewerage licensees. There are other further amendments commenced in Schedule 7 to the 2014 Act.

Article 3 contains transitional provision in respect of the grant of water supply licences with a wholesale authorisation.

In connection with the introduction of the new water supply licensing regime, article 4 makes provision for the revocation of existing licences by Ofwat and makes certain provision in relation to Ofwat’s qualifying transition scheme.