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This item was published during the term of a previous administration that ended in April 2007

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Investment in water projects

18/04/2005

Scottish Water has invested over £500 million in infrastructure improvements this year alone, Lewis Macdonald said today.

Addressing delegates at The Future for Scottish Water conference, the Deputy Minister for Environment and Rural Development outlined over £1.8 billion in investments made or planned between 2002 and 2006 in some of the largest civil engineering projects in the UK.

These projects include a team of highly trained tunnellers drilling 150 ft through tough dolerite rock to link the Mugdock and Craigmaddie Reservoirs with a new £120 million treatment plant currently being built at Barrachan, Milngavie.

Mr Macdonald said:

"Scotland's publicly owned water industry is delivering the huge investment needed to improve standards for customers, and to protect public health and the environment whilst keeping charges to a minimum.

"Between 2002 and 2006 £1.8 billion is being invested in improvements to Scotland's water infrastructure. This year over £500 million was invested - some £100 million more than the previous year. In 2005 - 2006 Scottish Water are planning to increase the pace of investment to over £600 million.

"The planning and delivery of a range of large and small investments are reaping tangible improvements for customers all over Scotland.

"These include an investment of over £120 million in a single project to improve the supply to over 700,000 customers in the Greater Glasgow area, and over £100 million in wastewater treatment is delivering cleaner beaches, rivers and estuaries across the country. This is in addition to Scottish Water's estimate that by March 2006 they will have allowed some 60,000 new houses to be connected to the network over the previous four years.

"All of this has been achieved whilst Scottish Water has met the efficiency targets set for it by the Water Industry Commissioner - saving customers the equivalent of £1 million each week."

Scottish Water's £1.8 billion current investment programme for 2002-2006 (Quality and Standards 2) is delivering better quality drinking water, a cleaner environment, and better customer service.

In response to the significant investment challenges set by the Water Industry Commissioner (i.e. to deliver £2.3bn of capital projects for £1.8 billion), Scottish Water established an asset delivery partnership with the private sector called Scottish Water Solutions Ltd to secure more efficient and timely delivery of its capital investment.

On February 9, 2005, Lewis Macdonald set out in Parliament the objectives he wishes Scottish Water to address between 2006 and 2014 (Quality and Standards 3). These will require Scottish Water to continue its task of delivering one of the largest water investment programmes in the UK. His statement included commitments to inflation-only price increases for customers between 2006 and 2010, action on the environment and on sewage smells, and a better deal for businesses.

The priority objectives set for Scottish Water in the next investment period will

  • Deliver the maximum affordable investment in support of housing and economic growth in communities across Scotland
  • Protect public health by improving drinking water quality for 1.5 million customers
  • Safeguard the environment by improving water quality in over 500km of rivers, lochs and coastal waters
  • Tackle offensive odour at 35 wastewater treatment works and remove over 1,100 properties from the risk of internal flooding
  • Ensure affordablility by introducing a new 25 per cent discount on water charges for households of two or more adults that are receiving Council Tax benefit

Page updated: Monday, April 18, 2005