CURRENT CHARGING SYSTEM BY WATER
COMPANIES
44. The existing charging system employed by water
companies does not encourage householders, businesses, or highways
authorities (typically the local authority) to minimise surface
water runoff at source. The result is that much surface water
is routed into public sewers, which themselves have limited drainage
capacity.[88] Currently,
charges for surface water drainage and highway drainage (and foul
sewage) are included in the general charge for "sewerage",
which makes up more than half of the average water bill.[89]
There is no transparency about the proportion of the sewerage
charge which is made up by each of the three elements, and equally
no incentive for property owners or local authorities to minimise
their runoff.[90]
45. The charging system is more transparent in several
other countries, thus offering an incentive to property owners
and businesses to install property-level SUDs to reduce surface
water drainage charges. In Germany, for example, the adoption
of transparent surface water drainage charges has encouraged a
high amount of retrofitting of SUDS, particularly green roofs
and water reuse systems.[91]
In contrast, water companies in England offer rebates on the wastewater
charge for domestic consumers who can prove that they do not make
any use of the public sewer to dispose of surface water, but uptake
is limited (typically 2-5% of household customers) and the rebate
is modest (typically less than £40).[92]
Ofwat is encouraging the companies to move progressively to charging
large non-domestic consumers for surface water drainage services
on an area basis (only four companies currently do so).[93]
46. The Government believes charging for surface
water drainage should be "more transparent" and "reward
organisations that place a smaller load on the surface water drainage
system". As part of its Water Strategy, the Government announced
that it will "consider whether funding for surface water
drainage should be changed to better reflect the polluters pays
principle". This may involve "strengthening requirements
by Ofwat for water companies to vary their charges to reflect
more accurately the true cost of surface water drainage, including,
for example, consideration of how to take account of impervious
surface areas".[94]
Our views
47. We believe more must be done to reduce the volume
of water run-off going into the public sewerage system by existing
householders. Those flooded are often inundated by other people's
water; it is therefore reasonable in principle that those who
create the runoff should bear the cost of managing it. We
welcome the Government's decision to consider, as part of its
Water Strategy, changing surface water charging to reflect the
"polluter pays" principle. Ofwat should insist that
water and wastewater companies state the proportions of customers'
bills that are made up of foul water drainage, surface water drainage
and highways drainage. Property owners who have, or retro-fit,
SUDs should receive a rebate on the surface water component of
their water company bill. We
believe this would provide an incentive for householders and businesses
to adopt SUDS, such as green roofs, as has been the case in other
European countries.
48. Local authorities will require funding to carry
out their future surface water drainage responsibilities, as identified
by the Pitt Review. Beyond making an "initial provision of
£34.5 million which may be needed to implement Sir Michael
Pitt's recommendations", the Government has not provided
any details about how the Pitt Review will be funded in the future.[95]
One possibility could be that the surface water drainage component
of customers' water bills should be passed to local authorities.
If local authorities had a statutory duty for surface water drainage,
some of this money would be paid back to the water companies,
who would often be sub-contracted by the local authority to carry
out work on their parts of the drainage system. This method would
at least ensure resources are allocated to water companies to
spend specifically on ensuring effective surface water drainage.
49. The Government should take this aspect of the
Water Strategy as seriously as some of the other proposals. It
would be a more effective policy tool, in directly reducing run-off,
than the further regulation proposed in the Strategywhich
will mainly affect new development but not the mass of existing
build.
OTHER 'WATER STRATEGY' POLICIES
50. The Government's Water Strategy set out other
policies in relation to surface water drainage, including the
abolition of the automatic right of developers to connect surface
water drains to the public sewerage system and to change, by the
end of 2008, householders' rights to allow them to pave over their
front garden without planning permission only if the surface is
porous, such as by using permeable paving or gravel.[96]
Both policies were previously recommended by the Pitt Review,
and received almost universal support from witnesses.[97]
51. We welcome
the Government's Water Strategy policies to change householders'
rights to allow them to pave over their front garden, without
planning permission, only if the surface is porous and to review
the automatic right to connect surface water drains and sewers
to the public sewerage systems. We harbour
some concerns, however, that the latter policy could confuse a
means with the end. The end should be to prevent additional surface
water runoff loads to either, or both, sewers or watercourses.
Our concern is that the abolition of the right to connect to a
public sewer may have an adverse effect because developers would
instead connect drains to nearby watercourses. To prevent this,
we recommend that any
new discharge of surface water by drain or sewer to a watercourse
should require the consent of the Environment Agency. This
requirement should be included within existing planning processes.
38 Defra, First Government response to the autumn
2004 Making Space for water consultation exercise, March 2005,
p 17. Defra intends to adopt a "staged approach to implementation,
where possible by administrative action". Other changes,
however, may require amendments to primary legislation, which
could take a longer time [Water: Flood Management: Making Space
for Water: Programme of work: Environment Agency Strategic
Overview: Inland Flood Risk, 22 June 2007, www.defra.gov.uk/environ].
Back
39
Water: Flood Management: Making Space for Water: Programme
of work: Environment Agency Strategic Overview: Inland Flood Risk,
22 June 2007, www.defra.gov.uk/environ. Back
40
Q 904; Ev 335. Back
41
Q 27 Back
42
Pitt Review, Learning the lessons from the 2007 floods,
December 2007, pp 46-47. Back
43
Defra, Improving surface water drainage [consultation document],
February 2008. Back
44
Ev 335 Back
45
Q 72 Back
46
Pitt Review, Learning the lessons from the 2007 floods,
December 2007, p 47. Back
47
Qq 885, 930. The indicative maps are being produced following
the Pitt Review's urgent recommendation 2 that "the Environment
Agency, supported by local companies and water companies, should
urgently identify areas at highest risk from surface water flooding
where known, inform Local Resilience Forums and take steps to
identify remaining high risk areas over the coming months"
[Pitt Review, Learning the lessons from the 2007 floods,
December 2007, p 37]. In evidence, Defra acknowledged the maps
would be fairly crude (Q 1031). Back
48
Q 885 Back
49
Q 651; Q 483; Ev 480, para 11; Ev 209. Back
50
Q 1028 Back
51
For example, Jaqui Taylor [Ev 412], Dr Susan Juned [Ev 417]. Back
52
Q 190; Ev 250, para 9. Back
53
Q 72 Back
54
Section 94 of the Water Industry Act states: "It shall be
the duty of every sewerage undertaker to provide, improve and
extend a system of public sewers (whether inside its area or elsewhere)
and so to cleanse and maintain those sewers as to ensure that
that area is and continues to be effectually drained". In
February 2007, the Government announced that existing private
sewers and lateral drains that are connected to the public sewerage
system should be transferred into the ownership of water and sewerage
companies. In its Water Strategy, the Government says its is considering
how and when the transfer will take place [Defra, Future Water,
Cm 7319, February 2008, p 61]. Back
55
Internal Drainage Boards (IDBs) are independent statutory bodies
responsible for land drainage in areas of special drainage need
that extends to 1.2 million hectares of lowland England. They
are long established bodies operating predominantly under the
Land Drainage Act 1991 and have permissive powers to undertake
work to secure drainage and water level management of their districts.
They may also undertake flood defence works on ordinary watercourses
within their districts (i.e. watercourses other than 'main river'). Back
56
Q 170, Q 172. The Council said the various organisations had only
convened for discussions for the first time after the June
floods. Back
57
Q 397 Back
58
Qq 647, 650. Back
59
Q 207 Back
60
For example, Hull City Council [Q 209], Sheffield City Council
[Q 192]. Back
61
Qq 357-358 Back
62
Ev 480 Back
63
Defra, Future Water, Cm 7319, February 2008, p 58. Back
64
Q 1022 Back
65
Defra, Improving surface water drainage [consultation document],
February 2008, p 19. Defra says that the strengthened framework
"should allow for the resolution of existing surface water
problems, as well as ensuring that new development does not increase
flood risk". Where little development is taking place, SWMPs
"should be targeted to resolve existing problems". Back
66
Defra, Future Water, Cm 7319, February 2008, p 58. Back
67
Pitt Review, Learning the lessons from the 2007 floods,
December 2007, p 49. Back
68
Pitt Review, Learning the lessons from the 2007 floods,
December 2007, p 54. Back
69
Defra, Improving surface water drainage [consultation document],
February 2008, p 27. Back
70
Defra, Improving surface water drainage [consultation document],
February 2008, p 27. Back
71
Defra, Improving surface water drainage [consultation document],
February 2008. Back
72
Cabinet Office, The National Security Strategy of the United
Kingdom, Cm 7291, March 2008, p 42. Back
73
Q 927 Back
74
Defra, Future Water, Cm 7319, February 2008, pp 60-1. Soakaways
may take the form of stone filled trenches or porous chambers.
They can be used for draining surface water from roofs, or run-off
from roads and other surfaces. Green roofs are partly or wholly
covered by a growing medium, such as soil, and vegetation on top
of a waterproofing membrane. Back
75
Defra, Improving surface water drainage [consultation document],
February 2008, p 38. Back
76
Lamb Drove, Cambourne, Cambridgeshire; Manor Park, Sheffield;
Elvetham Heath, Hampshire. Defra, Improving surface water drainage
[consultation document], February 2008, p 37. Back
77
Gail Lawlor, Beth Anne Currie, Hitesh Doshi and Ireen Wieditz,
Green Roofs: A Resource Manual for Municipal Policy Makers
(Canada Mortgage and Housing Corporation, 2006), p 22. Robert
Herman, "Green Roofs in Germany: Yesterday, Today and Tomorrow"
in Proceedings of the Greening Rooftops for Sustainable Communities
Symposium. Hosted by: Green Roofs for Healthy Cities and City
of Portland, Oregon, 29-30 May 2003. Back
78
Gail Lawlor, Beth Anne Currie, Hitesh Doshi and Ireen Wieditz,
Green Roofs: A Resource Manual for Municipal Policy Makers
(Canada Mortgage and Housing Corporation, 2006), pp 21-22. Back
79
UK Rainwater Harvesting Association, www.ukrha.orq. Wirtschaftsfaktor
Regenwassernutzung, Mall GmbH [consultants], www.mall.info. A
rainwater harvesting system collects water that falls onto the
roof of a property for subsequent use in non-potable applications,
such as toilet flushing, clothes washing machines, car washing
and garden watering. A typical domestic rainwater harvesting system
provides around 50% of a household's total consumption. Back
80
Q 1041 Back
81
For example, Oxfordshire County Council [Q 345], Severn Trent
Water [Q 370], Stroud District Green Party [FL 57], Wildlife Trusts
[Ev 489], Ashchurch Parish Council [Ev 458]. Back
82
For example, Yorkshire Water [Q 285], Internal Drainage Boards
north of the Humber [Q 288], Severn Trent Water [Q 371]. Back
83
For example, Greater London Authority [Q 628], Royal Town Planning
Institute [Q 628], Leeds City Council [Ev 503], Blueprint for
Water [Ev 483]. Back
84
Defra, Future Water, Cm 7319, February 2008, p 61. Back
85
For example, the Institution of Civil Engineers said that PPS25
was "not prescriptive enough" in encouraging adoption
of SUDs [Ev 499]. Back
86
Qq 371, 374. Back
87
For example, Thames Water [Q 378], Greater London Authority [Q
627]. Back
88
Defra, Improving surface water drainage [consultation document],
February 2008, p 7. Back
89
Ofwat estimated that the average household bill for 2007-08 in
England and Wales for both water and sewerage services was £312
(£150 for water and £162 for sewerage). Ofwat, Water
and sewerage charges 2007-08 report, May 2007, pp 13, 30. Back
90
Highway authorities, who manage the run-off from roads, are able
to connect into a public sewer, but only pay a connection charge
(typically around £250) and do not contribute to maintenance
costs. Defra, Future Water, Cm 7319, February 2008, p 80. Back
91
In North-Rhine Westphalia, for example, a combination of transparent
charging and subsidies resulted in approximately 6 million square
metres of surface area being disconnected from the sewer system
between 1996 and 2004. Charge rates vary between German municipalities:
in 2004, Berlin charged 1.4 per square metre per year and
Münster 0.44. Gail Lawlor, Beth Anne Currie, Hitesh
Doshi and Ireen Wieditz, Green Roofs: A Resource Manual for
Municipal Policy Makers (Canada Mortgage and Housing Corporation,
2006), pp 120-121, 115, 61. Back
92
Defra, Future Water, Cm 7319, February 2008, p 80. Ofwat,
Water and sewerage charges 2007-08 report, May 2007, p
33. Back
93
Defra, Future Water, Cm 7319, February 2008, p 80. Back
94
Defra, Future Water, Cm 7319, February 2008, pp 60, 82. Back
95
HC Deb, 4 February 2008, cols 49-50WS Back
96
Defra, Future Water, Cm 7319, February 2008, pp 59-60. Back
97
Pitt Review, Learning the lessons from the 2007 floods,
December 2007, p 133. For example, Water UK [Qq 676, 680], Royal
Town Planning Institute [Q 615, 620]. Back