Southern Water has secured £825 million in sustainable funding for its key environmental programmes.
The company said the deal marks the largest green sustainable deal from a UK utility, adding that the funding comes under its environmental, social and governance (ESG) framework which it established earlier this year.
Southern said that its environmental policy reflects an ambition which includes providing sustainable services that prevent pollution and minimise emissions, supporting sustainable development, and protecting the environment by promoting the sustainable, efficient use and conservation of water, energy and natural resources.
The funding will support its £2 billion programme of proposed work over the next few years which includes:
- Reactive comm pipe and stop tap replacements – Reducing leakage and water abstraction which reduces the impacts on the environment in a water stressed part of the UK.
- Waste water pumping stations – This will protect SWS customers and the environment from internal & external flooding as well as pollution events
- Budds Farm – by increasing treatment capacity at the wastewater treatment works the environment will be better protected from pollution events in future.
- Brighton East Nitrate removal – protects customer health by working to remove nitrate from the water source in the most affordable and environmentally sustainable way possible.
- Thanet Sewers – Scheme to upgrade the sewer network in Margate.
- Additional water importation from Portsmouth Water through Gaters Mill (further 23Ml/d) – This ensures that SWS utilises all water available in the SE of England, by sharing available water resources before looking to abstract from new, potentially more environmentally damaging, sources of water.
Southern’s chief executive Ian McAulay said: “We know that the sustainability of water and waste water services are critical to other key organisations and front line services alongside the socio-economic wellbeing of the region.
“As our economy starts on the road to recovery from Covid-19 our programmes and role in supporting our communities are vital. This funding from investors with a stringent sustainability criteria demonstrates confidence in Southern Water’s fundamental commitment to improving outcomes for our customers and the environment.”
In May 2018 Pennon Group, which owns South West Water, announced it had secured £80 million worth of green finance deals and that it had entered into credit arrangements with Societe Generale Corporate & Investment Banking and Natwest.