Northumbrian Water has pledged to invest around £1 billion in services to its North East customers between 2015 and 2020.
The company said the investment will protect and create jobs among its network of suppliers and contractors, as well as bringing new business to the area.
Investment will be made to improve the sewer network to reduce flooding risk; cleaning nearly 1,500 miles of water pipes; replacing 200 miles of water mains to prevent supply interruptions; improve 12 sewage treatment works to improve the quality of water returned to rivers; and improve sewage systems to protect bathing waters from pollution.
The utility also plans to generate about 30% of its energy use from anaerobic digestion and will work with universities and suppliers to develop new technologies and solutions.
Heidi Mottram, Northumbrian Water’s chief executive officer, said:
“This is a major commitment to further improve the infrastructure of water supply and sewerage services in the North East, and it will have a significant knock-on effect in terms of our regional economy.
“As well as improving the service we provide for our 2.7 million customers, we will be making a major contribution to our network of suppliers and contractors based in the region. By making sure we have water and sewerage services that are second to none, new businesses will be encouraged to come to the area.
“We have been consulting with our customers and stakeholders all over the region and discussing our findings with a group called the Water Forum. This independent group is made up of a wide range of representatives who scrutinise and challenge our plans. We have developed proposals for the future through this process, and we now want to check that we have reflected our customers’ views correctly.”
Northumbrian has said it can deliver the improvements for an inflation only bill increase, meaning it anticipates the average bill to be £423 by 2020, based on an assumed inflation rate of 3%.
The company is in the process of "refreshing" its business plan, based on customers’ priorities and a commitment to improving service and efficiency.
The detailed business plan will be published in December after it is submitted to regulator Ofwat.
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