Water: National Grid

Lord Gardiner of Kimble Excerpts

Wednesday 28th March 2012 Lords Chamber

Asked By

[Lord Gardiner of Kimble]

To ask Her Majesty’s Government what plans they have to facilitate the establishment of a national water grid.

[The Parliamentary Under-Secretary of State, Department for Environment, Food and Rural Affairs (Lord Taylor of Holbeach)]

My Lords, our water White Paper set out the challenge of ensuring resilient and sustainable water resources in the face of increasing pressure from climate change and population growth. We need to use existing water resources more efficiently, develop new sources and build connectivity across the network. Water companies are already joining up sources of supply to build resilience. We are working closely with Ofwat and the Environment Agency to encourage further connectivity and to promote bulk water trading.

[Lord Gardiner of Kimble]

My Lords, by 5 April over half the country will be subject to drought orders. I know that the Minister understands the gravity of the situation but perhaps I may press him further. Will he and his departmental colleagues, as a matter of priority, bring forward a national plan—whether it is called a network or a grid, I really do not mind—so that for the future all parts of the country have an adequate water supply?

[Lord Taylor of Holbeach]

As my noble friend is aware, much has already been done by water companies to improve interconnectivity. My noble friend asked about a plan. We are encouraging water companies to include provision for better interconnectivity in the next price review round, which is due to complete in 2014. This is potentially much more cost-effective than creating a national grid and it will help to address the problem of imbalances in water availability across the country. We need Ofwat to get the incentives right so that water trading is economically attractive for water companies.