Regulator highlights funding concerns for Northern Ireland Water

The energy and water sector regulator for Northern Ireland, UREGNI, has warned, in its recently published forward programme, of its perennial concern for the funding of the region's state-owned water and wastewater business.

In its Forward Work Programme 2021-22 (FWP) published last week, UREGNI said: “In water, the challenge remains of ensuring a reliable supply,” highlighting that the Department for Infrastructure’s long-term water strategy was focused on security of supply.” It went on to say, “Public funding for Northern Ireland Water that does not meet identified investment need may negatively impact on the delivery of services and outputs going forward.”

As it nears the May publication of its price control final determinations for the next period (PC21), the regulator said: NI Water continues to improve its relative efficiency and builds on the improvements that have been made and we will conclude our price control review for NI Water.” The water company in its responses to the draft FWP consultation had highlighted “there is currently no reference to completing the PC21 Price Control Process.

Other items in the FWP included to “scope a review for the effective treatment of NI Water depreciation.” The review UREGNI said will “ensure the water company has a sustainable model with costs appropriately apportioned between short-and long-term.”

The regulator also pledged to “commence assessment” of NI Water’s integrated plan for drainage and wastewater management in Greater Belfast, its Living With Water programme. It said w it will seek to ensure the programme achieves its ends in “collaborative way giving overall lowest costs for Northern Ireland.”