Ofwat has granted pharmacy-led health and beauty retailer Boots a Water Licence and Sewerage Licence (WSSL) with a retail authorisation limited to self-supply.

The pharmacy and beauty giant applied for a WSSL in October 2022 – Boots has around 2000 stores and manufacturing facilities, including optician services.

According to the application and synopsis of the company’s business plan , a WSSL would enable Boots to take advantage of further opportunities to build on works already undertaken with energy management. It will also “deliver Boots with visibility, data as well as a direct platform within the market” and will form “an integral part of continuing to manage energy resources efficiently and effectively.”

The application stated:

“Boots considers having a self-supply service will enable it with the opportunity to take more control over its water usage and effluent discharge as it will be dealing directly with wholesalers to build on the success of its water programs.”

The retailer has entered a partnership agreement with Waterscan Ltd who will act as the managing agent for Boots. Waterscan will be responsible for the retail functions including meter reading, Central Market Operating System (CMOS) transactions, wholesaler management and finding further water efficiency savings. It will also provide technical support and services while the business will build on its key relationships with wholesalers and pay water and sewerage charges through the settlement process.

The WSSL will enable Boots to provide retail services to itself and associated persons and pay the wholesale prices that retailers pay to the water companies. It will not pay retail margin added by suppliers in the open water market and become a market participant.