§ Norman BakerTo ask the Secretary of State for Environment, Food and Rural Affairs what estimate she has made of the external costs associated with water leakages and inefficient use of water, with particular reference to the environmental costs. [184584]
§ Mr. MorleyWater companies produce long-term (25 year) water resource plans to balance the supply and demand for water. These plans, which are reviewed annually and revised every five years, include economic leakage appraisals that form the basis of annual leakage targets. The plans are submitted to Ofwat and the Environment Agency for scrutiny as part of the business 407W planning process and contain companies assessments of the relative costs and benefits of different options for balancing the supply and demand for water. The guidance for producing water resource plans requires water companies to take account of all costs and benefits, including environmental and social ones, in their assessments. The final mix of resource schemes, leakage reduction and demand management schemes chosen to balance supply and demand will be at the least cost to both customers and the environment.