RAPID has published its draft decision to allow further funding for the Fens Reservoir strategic regional water resource solution to progress to gate three.
Paul Hickey Ofwat Senior Director and Managing Director of RAPID (Regulators Alliance for Progressing Infrastructure Development) has written to solution owners Anglian Water and Cambridge Water notifying them of the decision following a review by RAPID and its partner regulators.
Ofwat will discuss timing at the next monthly checkpoint to seek assurance that the solution team can deliver the requirements of gate three in September 2024 based on current progress. The regulator wants the water companies to provide to RAPID, and explain at a checkpoint meeting by 21st March 2024, a detailed programme that shows the work they will do to deliver the requirements of gate three by September 2024. In particular, the programme must incorporate the environmental assessments that will be needed to support the potential and likely pathways that the solution will need to go through in order to be compliant with the requirements of the Water Framework Directive (WFD) and Habitats Directive (HD).
By 31st May 2024 they will also be required to provide to RAPID a complete draft report (for review ahead of gate three) that explores the solution’s potential and likely pathways to achieve compliance with the requirements of the WFD and HD - whether or
not the pathways use a legislative derogation.
The report will also need to demonstrate that the solution has received advice from relevant professions that at least one of the pathways is likely to succeed in achieving compliance. In addition, the report must also show the consideration of alternative options, including the benefits/disbenefits and viability of a largescale desalination plant operational in the early 2030s.
Anglian Water and Cambridge Water will also be required to engage with and facilitate the setting up of a Working Group involving Severn Trent Water, Affinity Water, Anglian Water and Cambridge Water on the ‘Grand Union Canal, Grafham Rede Pipeline and Cambridge Transfer Water Grid Sub Programme’ during the development of Fens Reservoir.
The group will be expected to explore further how the ‘system’ of interdependent schemes can be optimised to deliver the best outcome for customers and the environment.
In addition, as a result of new information available since RAPID published the gate two decision which has highlighted the likelihood of wider benefits to Anglian Water customers,
RAPID is reviewing the allocation of gate three allowances and beyond to recognise that
distribution of benefits.
Paul Hickey said RAPID is considering the possibility of moving away from the current 50:50 allocation and plans to set out its proposed allocation of costs between companies in advance of the PR24 draft determination.
Deadline for solution owners and other interested parties to submit responses by email to
This e-mail address is being protected from spambots. You need JavaScript enabled to view it is 6pm on 4 March 2024.
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