Publisher's Synopsis
The Director General of the Water Services (Ofwat) sets maximum water prices every five years, a process known as the Periodic Review (PR). This enquiry focussed on the extent to which the 1999 PR contributed to environmental protection and sustainability. The report covers the following issues: the 1999 Periodic Reviews; the privatized water industry of England and Wales; assessing customer needs; the price profile; long term planning; and water efficiency. It is recommended that in future, to avoid confusion, comprehensive and independent surveys should be commissioned by the Department for the Environment, Transport and Regions (DETR). The report recommends that Ministers should respect the role of the independent regulator, Ofwat, to determine price limits and not influence customer and consumer expectations by publicly announcing its own price expectations. The Environment Agency should develop and strengthen its capacity to assess and demonstrate the benefits of schemes proposed for inclusion in National Environment Programmes.