§ Mr. MacleanTo ask the Secretary of State for the Environment, Transport and the Regions (1) what is the estimated cost up to 2002 of complying with water quality standards(a) which are required by United Kingdom and EU statutes and (b) which are outlined as desirable in the Environment Agency's paper, A Price Worth Paying; [52210]
(2) what assessment he has made of the Environment Agency's paper, A Price Worth Paying. [52211]
§ Angela EagleThe price limits set by the Director General of Water Services in 1994 allowed for a capital expenditure programme of £24 billion by water companies in England and Wales over the period 1995–2005, £11 billion of which was for quality improvements to sewage treatment and drinking water quality. Most of those improvements are required under EC Directives. Figures for actual capital expenditure are contained in OFWAT's annual reports on the financial performance and capital Investment by water companies, copies of which are in the Library.
The price limits for 2000–2005 are currently under review by the Director General. As part of that process, he published on 30 April an open letter to the Secretaries of State, "Setting the Quality Framework", which includes cost information based on water company estimates for possible water quality improvements arising from European and domestic initiatives, many of which are discussed in "A Price Worth Paying". The Government are considering all the representations received in response to "Setting the Quality Framework, including the views expressed by the Environment Agency, in the light of cost information available through water company estimates. They plan to issue guidance to the Director General later in the summer.
A copy of "Setting the Quality Framework" is available in the Library of the House.