AWWA ACE95209

The Water Industry in England and Wales is wholly privately owned. There are separate quality and economic regulators; the Drinking Water Inspectorate (DWI) and the Office of Water Services (OFWAT). This paper describes the process that took place to determine the allowable water rates for the period 1995-1999 and it discusses some of the important ongoing issues. Changes in standards and setting of new regulations created a need for a new method for determining operating and capital costs. The method in which water rates were determined had to be changed to a more efficient system. Price limits were set to ensure that industry would continue to have reductions in operating expenditure for existing services of 2% per year form 1995 to 2000 and a further 1% per year thereafter. Currently, the distribution systems are receiving some attention. The city's iron distribution mains are corroded and the deposits result in water of unacceptable aesthetic quality being supplied. Once the backlog of water quality issues are dealt with, the refurbishment of the distribution systems will begin. Clearly, this process will continue to evolve; the Government has an important role in determining the water quality standards due to the public health concerns; the future holds greater stability in water charges, and a greater level of service.

Product Details

Published:

01/01/1995

ISBN(s):

0898678315

Number of Pages:

12

File Size:

1 file , 450 KB