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Ofwat has today published an independent report into how best to tackle sewage overflows into the Thames Tideway. The Jacobs Babtie study, commissioned by the water regulator and part funded by Thames Water, reviewed the work done by the Thames Tideway Strategic Study with a view to identifying economic solutions available to deal with a significant proportion of water quality problems caused by intermittent storm discharges. It found that there was scope for alternatives to the preferred solution of a 35km storage and transfer tunnel, which could offer significantly reduced costs in return for some reduction in benefits, and these needed to be examined further. In the wake of the report's findings Ofwat has written to Environment Minister Elliot Morley advising that further investigative work should be carried out before any decision is taken on the tunnel. To pay for the full tunnel project – at a capital cost of £1.7 billion – Thames Water estimates that customers' bills would need to increase, on average, by at least £40-45 in real terms by 2020. Thames Water is already committed to carry out major improvements valued at more than £400 million at four of London's largest treatment works – Beckton, Crossness, Mogden and Riverside – which affect the quality of the River Thames. These improvements, with all but the Crossness works scheduled for completion in time for the London Olympics, are expected to reduce by two thirds the risk of significant fish kills caused by discharges. Ofwat stands ready to play its part in further considerations of these issues. Notes to Editors: 1. The Director General of Water Services is the economic regulator of the water and sewerage companies in England and Wales. He exercises his powers in a way that he judges will allow them to carry out their functions properly, and finance them. 2.As part of the price limits set for Thames Water, customers' bills will increase by £46, on average, by 2010 (before inflation). 3.Defra press notice (no. 566/05) issued on 2 December 2005 announced that it had received a report, commissioned by Ministers, from the Thames Tideway Strategic Study group, and that it would be receiving the independent review of the Thames Tideway Strategic Study, commissioned by Ofwat and Thames Water, which would also inform the department's decision-making. 4.The Director General's letter to Environment Minister Elliot Morley and the Jacobs Babtie report is available on the Ofwat website, www.ofwat.gov.uk MEDIA ENQUIRIES TO OFWAT PRESS OFFICE ON: 0121 625 1416/1496/1442 Out of hours enquiries to pager: 08700 555 500 water 502/503. Ofwat publications and press notices can be found on Ofwat's website at: www.ofwat.gov.uk  | ||||||
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