PN060606STI

Embargo: 00:01 Tuesday 6th June 2006

Contact: Owen Williams 020 7219 8659

GOVERNMENT MUST RECOGNISE NEED FOR INCREASED INVESTMENT IN NEW WATER RESOURCES, WARN LORDS

The House of Lords Science and Technology Committee has today published a report on Water Management in England and Wales, calling on the Government to accept the need for substantial development of new water resources in the coming years.

The Committee also demands a significant reduction in the unacceptably high level of leakage from water companies’ pipes, alongside more coherent and better-funded promotion of sensible water use among domestic and business consumers.

The Committee calls on the Government to make it easier for water companies to achieve universal water metering of their customers, whilst providing additional help through the benefits system for those customers who struggle to pay their bills. To address the very high level of unpaid water bills, those people who can afford to pay but refuse to do so should be partially disconnected from the water supply.

At the root of the problem is the Government’s failure to ensure properly integrated water management; accordingly, the Committee calls for new regional boards, with greater consumer and environmental representation, to work out the best balance of measures for each part of the country.

Commenting on the report Lord Selborne, Chairman of the Committee, said:

“The water crisis has now been widely talked about for a number of months. Much of the country already has restrictions on water usage and these will increase considerably if we have a dry summer.

“We are concerned that Ofwat has not taken this problem seriously enough and in its drive to ensure low water prices for consumers has taken its eye off the ball when it comes to ensuring adequate security of supply. Only by giving water companies assurances about future income can the water providers effectively plan long-term investments in infrastructure, tackle leakage and promote water efficiency.

“Our key message is that the Government must work much harder to integrate environmental, social and economic interests in the management of water.”

Other conclusions in the report include the following:

  • The Government failed to consider the water management implications of their house-building plans at an early enough stage, and their belated estimates of the growth in demand are wholly unconvincing. Along with the Environment Agency, they must ensure that the water companies’ plans factor in what is bound to be a significant increase in demand.

  • A national water grid is not feasible because it would require huge amounts of energy and would cost too much. However, greater connectivity between water companies should be strongly encouraged.

  • There is a need for increased re-use of water, both by the water companies and in new housing developments. This might include the recycling of wastewater and rainwater.

  • Ofwat should provide greater incentives for the water companies to invest in long-term research and development.

Notes to Editors

1. The report is published by The Stationery Office: Water Management, House of Lords, Science and Technology Select Committee (Sub-Committee I), 8th Report of 2005/06, HL Paper 191-I, ISBN 010 400871 7, Price £21

2. The full report will be available shortly after publication online at:
http://www.publications.parliament.uk/pa/ld/ldsctech.htm

3. The Committee received evidence from a wide variety of sources during this long-running inquiry, including: Ofwat, Defra, the Consumer Council for Water, ODPM, Water UK, the European Commission, the Drinking Water Inspectorate, English Nature, the Environment Agency, the Town and Country Planning Association and many other academic and professional experts.

4. The Members of the Committee who conducted the Inquiry were:

Earl of Selborne (Chairman)

Lord Broers

Lord Howie of Troon

Lord Lewis of Newnham

Lord Mitchell

Lord Oxburgh

Lord Patel

Baroness Perry of Southwark

Baroness Platt of Writtle

Baroness Sharp of Guildford

Lord Taverne

Lord Whitty (until March 2006)

[ENDS]