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by Karma Loveday

60% of water companies ‘require improvement’ in latest environmental star ratings

The 2023 Environmental Performance Assessment (EPA) from the Environment Agency (EA) showed a picture of polarised performance, with over half of English sewerage companies rated with two stars (requires improvement) with the others securing three or four stars (good or excellent). Severn Trent secured the highest rating for the fifth year running, and Wessex soared up from two stars in 2022 to regain an excellent status.


Meanwhile, Natural Resources Wales reported Welsh Water will remain at last year’s two star rating, but called out deteriorating performance. This included a rise in serious pollutions from five to seven and a “small but significant” decline in water discharge permit compliance to 98%. There were 107 total pollutions, and self-reporting rose to 70%, but fell short of the minimum 80% target.


Due to its small operating area, Hafren Dyfrdwy does not receive a star rating, but NRW said its performance had improved from last year.


For England, the EA said the 2023 results showed overall improvement in star ratings, up from 23 in 2022 to 25, but that “the majority of companies continue to underperform”. This year’s report also found:


  • Serious pollutions up from 44 to 47 – 90% of which were caused by four firms (Anglian, Southern, Thames and Yorkshire). Northumbrian and Severn Trent had zero serious pollutions.


  • Total pollutions (categories 1-3) from sewerage and water supply assets increased to 2,174 – the second consecutive annual increase and highest number recorded since 2019.


  • Total pollutions from sewerage assets increased to 1,902 with no water company achieving target (green) for the first time for any metric since the EPA began in 2011. The EA said Southern and South West continued to perform significantly below target (red) with Anglian Water also rated red.


  • Self-reporting of all incidents was 84% (93% for just pumping stations and sewage treatment works combined) – the best since the EPA began.  However three companies performed below target (amber), including a notable deterioration by Southern Water.


  • 98.8% of treatment works were compliant with numeric permit conditions for discharging treated wastewater; six companies achieved target (green), but the poor performance of three, including South West Water which was the only red water company, meant the sector was not improving.


  • All firms scored green on satisfactory sludge use and disposal, and for the Supply Demand Balance Index.


  • 99.2% of planned WINEP improvement schemes were completed – though three companies failed to meet all requirements within planned deadlines (Thames rated red, and Anglian and South West rated amber).


In his foreword to the EPA, EA chair Alan Lovell said: “My over-riding sense is one of frustration and disappointment. The results we see are, yet again, simply not good enough.” He cited plans to transform regulation in response to the results, including by boosting staff numbers, inspections and digital investment. “And we are working closely with Steve Reed MP, secretary of state, on new legislation to strengthen our legal powers and penalties for pollution.”


A Water UK spokesperson said: “While today’s results show overall water company environmental performance has improved, it is clear there is more to be done. The performance of some companies, as they acknowledge, is not improving fast enough and pollution incidents remain too high.


“Water companies have proposed investing a record £105bn to secure our water supply in the future and stop sewage entering our rivers and seas. Ofwat needs to approve these plans in full as any less will put critical improvements at risk.”


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