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CONCLUSIONS
70. The issues on which views are sought are set out below.
Essential Principles of Charging
- The existing principles of charging that are critical to delivering water services efficiently at fair and affordable cost to customers should be maintained. These include full cost recovery, cost reflectivity, geographical harmonisation of charges, phasing of increases, paying for increased local capacity and stable charges.
Key issues
- Scottish Water's capital programme for 2010-14 should be set at a level that is efficiently manageable by a company of its size.
- Charges should be set at a level which will maintain and improve the level of financial sustainability and resilience of Scottish Water.
- There should be further movement towards more obviously cost-reflective charges within the next 4 year regulatory period but this should be done in the manner least disruptive to customers.
- Whether there should be plans to further extend the water services charges exemption scheme on its expiry in 2010.
- Recovery of roads drainage charges with water services charges on the basis of the rateable value of individual premises should be maintained.
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