What is the water industry review?
3 minute read
Today, the Government has revealed the Independent Water Commission, chaired by former deputy governor of the Bank of England, Sir Jon Cunliffe.
This new commission will advise on how to achieve a “proper reset” of the water industry in England and Wales. It’s set to be the largest review of the water industry since it was privatised in England and Wales in the 1980s. Water provision remains in public ownership in Scotland.
The commission will seek input from customers, environmental bodies, investors and engineers. The commission's findings are expected to guide new legislation aimed at reforming the water sector to better serve the interests of both customers and the environment. The review will consider nearly all options, including reforming or abolishing Ofwat, the regulator for the water industry in England and Wales. However, the Government has dismissed nationalisation as too expensive and inefficient.
We hope this review, combined with new pieces of legislation like the Water (Special Measures) Bill, will prompt the systemic change required for the protection of our environment
Credit: Natasha Ewins
Why does the water industry need to be reviewed?
The water industry is a vital part of our society, whether that’s taking away our waste or providing us with drinking water. Those services don’t have to come at the expense of the environment, but at present, water industry practices contribute to widespread pollution. Untreated sewage discharges contain a toxic cocktail of chemical and physical pollutants—ranging from wet wipes which can cause harm if ingested by wildlife, to ‘forever chemicals’ whose negative impact on human and animal health is well documented.
With stories about sewage pollution hitting the headlines, customer trust in water companies has never been lower. People want cleaner, healthier seas, and resetting the water industry has the potential to bring us much closer to this goal. To regain customer trust, the industry must put the marine environment at the heart of decision making. Ending all discharges of untreated sewage, except during genuine emergencies or exceptionally high rainfall, and tackling the growing problem of chemical pollution would not only make a huge difference for our seas, but also work toward regaining consumer faith.
What does the Marine Conservation Society want to see included in the water industry review?
We want to see the water industry better serve the interests of customers and the environment, including contributing to the restoration of ocean health. To achieve this, we want the review to examine the issue of untreated sewage discharges from storm overflows and emergency overflows—particularly when these discharges are being made into sensitive marine habitats and recreational areas. Regulations must be strong enough to prevent this form of pollution in the first place, and given the repeated nature of sewage discharges, this currently isn’t the case.
We would also like the review to examine the wider issue of pollution caused by or associated with the water industry, including microplastics and harmful chemicals like PFAS. A responsible, environmentally conscious future for the water industry is essential for humans and wildlife.
Policy and Advocacy Manager, Rachel Wyatt, said, “The Government has heard loud and clear that the public want change. They’re not happy with the current situation, and water companies must be held accountable for their actions. Our rivers, lakes and seas must be restored to good health. The Independent Water Commission has the chance to do this by fixing our broken water system.
To achieve the systemic change needed, the review must take into account all forms of pollution entering the sewerage network and the impact those pollutants have not only in our rivers, but in the sea too.
"While water companies must be held accountable for their actions, we must also ensure that upstream sources of pollution are tackled too. Many pollutants from our homes, businesses, industry and road run-off end up in sewage and not all of them can be removed. Without tackling these upstream sources of pollution, it won’t be possible to achieve the outcomes that we want for our rivers and seas.”
Head of Public Affairs, Fiona Thomas, said, “The current broken system is failing our marine environment. Every day a toxic cocktail of sewage, chemicals and microplastics leaks into our ocean.
Should the Government get it right, the Independent Water Commission could be a landmark moment in addressing water pollution.
“We urge the Government to ensure that the Independent Water Commission prioritises the interests of consumers and the environment above all else. Both regulation and regulators need to be given more power to properly address water pollution across all environments, including our ocean. This Independent Water Commission must be brought forward without delay- the longer we wait, the greater damage water pollution does to our ocean."
When will the commission publish the water industry review?
The new commission is not expected to release its findings until after Ofwat has finalised its decision on potential bill increases.
