Ofwat must prioritise green development

The government is consulting on strategic priorities for water sector regulation, including long-term investment to combat climate change, payment for ecosystem services and tackling unsustainable abstraction

Economic regulation of the water industry will in future have to take account of the long-term interests of the economy, society and the environment, the government has advised Ofwat.

The new environmental guidance features in a strategic policy statement for Ofwat published for consultation by the environment department (DEFRA).1 This states “sustainable development is central to everything Ofwat does and must be fully embedded throughout its regulatory decision-making”.

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