SES Water has reported missing its target to lower per capita consumption (PCC) due to “soaring” use in lockdown.
Last year the company saw usage rise 16 per cent at the start of the national lockdown. Ofwat noted the change in consumption patterns was the most significant impact on the sector from the pandemic. The regulator said it would consider adjusting targets later in the AMP after gathering more data.
In its 2020/21 annual report, SES revealed it hit its leakage reduction target of 1.2 per cent, but consumption soared during lockdown. Instead of cutting water used by 1 one per cent it rose by 3.7 per cent during the year to 31 March 2021. The company said there was positive activity on water efficiency programmes despite the circumstances. It has lobbied government to include a broader water target within the Environment Bill that encompasses more than personal consumption.
The company plans to install water meters to all properties during AMP7 and provide as many smart meters “as possible” in the next few years. SES’ region is classified as severely water stressed which means it must consider metering households. At present 62 per cent of customers have a meter.
More than 12,000 customers registered for the Priority Services Register, exceeding SES’ goal. More than 20,000 people benefited from the Water Support Scheme, which cuts bills by 50 per cent for those in hardship. The focus on supporting customers extended with the launch of a payment pause scheme. The additional support was rated helpful by more than 90 per cent of billpayers.
The company is the “most improved” in the C-Mex table but despite this progress it missed its target of achieving upper quartile performance.
Its capital investment programme was curtailed somewhat during lockdown so total investment in new and replacement plant and equipment was down year on year by £11 million to £26.5 million.
Chief executive, Ian Cain, said: “The last year has been like no other and, as the first year of our 2020 to 2025 Business Plan, it was always going to be a challenging one, even without the pandemic. We’ve worked hard to make progress against some stretching targets in our plan, particularly those associated with providing additional support to customers and staying below the maximum allowed level of leakage.”
He recognised the company had to do better in other areas including PCC reduction and achieving upper quartile performance in C-Mex.