An Independent Commission into the water sector and its regulation has been launched in what is expected to form the largest review of the industry since privatisation.
Launched by the UK and Welsh Governments, the Commission will report back next year with recommendations on how to tackle “systemic issues in the water sector to restore our rivers, lakes and seas to good health, meet the challenges of the future and drive economic growth”.
The recommendations will form the basis of further legislation.
Former Deputy Governor of the Bank of England, Jon Cunliffe, will chair the Commission.
The Commission will draw upon a panel of experts from across the regulatory, environment, health, engineering, customer, investor and economic sectors.
Launching the review, Secretary of State Steve Reed said:
“Our waterways are polluted and our water system urgently needs fixing. That is why we have launched a Water Commission to attract the investment we need to clean up our waterways and rebuild our broken water infrastructure. The Commission’s findings will help shape new legislation to reform the water sector so it properly serves the interests of customers and the environment.”
Water Commission Chair Sir Jon Cunliffe said:
“I’m honoured to be appointed as chair of the government’s new Water Commission. It is vital we deliver a better system to attract stable investment and speed up the building of water infrastructure.
“Working over many years in the public sector, in environment, transport and the Treasury, and the Bank of England, I have seen how the regulation of private firms can be fundamental to incentivising performance and innovation, securing resilience and delivering public policy objectives.
“I am looking forward to working with experts from across the water sector, from environment and customer groups and investors, to help deliver a water sector that works successfully for both customers, investors and our natural environment.”
Huw Irranca Davies, Wales’ Deputy First Minister with responsibility for Climate Change and Rural Affairs, added:
“This vital review couldn’t come at a more urgent time for our water environment and water industry.
“This shows the fresh approach of our two governments working together on an issue which affects us all as consumers, investors and as stewards of the natural world.
“Both the Welsh and UK Governments are determined to improve water quality and the resilience of the water sector for future generations. We have clear priorities for reform and a shared sense of the work needed across both countries’ policy and regulatory regimes to make this change happen.”
A set of recommendations will be delivered to the Defra Secretary of State, and Deputy First Minister and Cabinet Secretary for Climate Change and Rural Affairs next year. The UK Government and Welsh Government will then respond with the proposals they intend to take forward.
