The Open Water programme moved into the next phase as CGI was awarded a five year, £15 million contract to design, build and operate the central IT system for the English water market.

The company will build the central IT infrastructure by adapting a system that has been used in the Dutch and Danish electricity markets for use in the non-domestic water market in England, which opens in April 2017.

CGI has formed a strategic partnership with Bridgeall, which was involved in the opening of the market in Scotland, to develop the billing system that will calculate usage charges and allocate them to the relevant wholesalers and retailers.

The design phase of the central IT system is due to be completed in November this year, with a functioning system built by April 2016, ahead of testing and shadow operation later that year.

MOSL chief executive Ben Jeffs said: “Introducing competition in England by April 2017 is a major challenge, both in terms of timescales and complexity.

“The central market operating system will be at the heart of the new market, so we are delighted to appoint such an experienced team to work alongside us in this critical role.”

CGI vice president for energy and utilities in the UK Tara McGeehan added: “We have a very tight timescale to design, build and implement the system, but by working in partnership with all the key stakeholders and leveraging our central market systems experience, we will develop a system that will make competition work for the water industry.”

MOSL, which currently has 26 water companies in the UK as members, is working with Defra and Ofwat to deliver the Open Water programme that aims to offer 1.4 million businesses, charities and other organisations in England a choice of water retailer for the first time from April 2017.