Portsmouth Water has set out its AMP6 proposals with the publication of a strategy document for consultation on its Draft Business Plan 2015 – 2020 – saying that the investment is likely to be higher than in AMP5.

The plan says that to ensure water quality for future customers, investment at treatment works, pumping stations and service reservoirs, in the period 2015-2020 is likely to be greater than the previous five years as a cycle of investment becomes necessary to update and renew assets that are now approaching the end of their reliable working life.

Key aims of the plan include:

• Renewing pipes to minimise bursts.
• Increasing investment at operational sites to ensure no long term deterioration in service.
• Greater innovation in leakage management.
• Actively working with business customers to further enhance its business proposition to them.
• Reducing the impact of abstraction of water on three rivers in its area of supply.
• Increasing by 10% the amount of electricity used from renewable sources.

Portsmouth Water’s average household water supply bill for 2013/14 is the cheapest in the country - almost 50% of the industry average of £186 and 25% cheaper than the next least expensive of £130. Portsmouth Water said that its bills would remain the lowest in England and Wales - it “intends to keep it this way" and that prices would not increase above inflation.

More detailed proposals in the Plan include:

• investing over £3m to protect against the risk of cryptosporidium at two treatment works.
• investing £1.5m to improve disinfection to meet Water Quality Standards.
• increased maintenance to ensure that required water quality standards are delivered over the long term following an assessment of the firm’s treatment works and pumping stations

Portsmouth Water has not included any reference to the construction of Havant Thicket reservoir in the proposals on the basis that it does not have a need for it from its own water resource perspective. However, the firm said it is seen as a key piece of infrastructure for the area and it believed it should play a part in a solution to water scarcity issues across the whole of the South East.

The utility said it would maintain the percentage of procurement for local supplies where appropriate - currently 45% of services are from the local area. Portsmouth Water has also committed to sharing any  outperformance with customers if its financial returns are higher than assumed in the draft plan.

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