Taking responsibility for the water environment for good

Issue 2

Taking responsibility for the water environment for goodTurning debate into action – an update from Yorkshire Water

Contents

04. Foreword By Richard Flint

06. Our vision

08. Excellent catchments, rivers and coasts

10. Water efficient regions

12. Integrated water management diagram

14. Safe water

16. Sustainable resources

18. Strong financial foundations

20. A trusted company

22. Conclusion

Last year we launched our vision for the water industry, ‘Taking responsibility for the water environment for good’. The underlying theme in our vision is for the water industry to play a bigger role in addressing sustainability whilst achieving even better value for our customers.

A year on we have now begun our journey to achieve our vision. Turning our words into action we have adopted new, more sustainable ways of working. You will see a number of case studies in this booklet showing how we are thinking differently.

There is a long way to go but we are serious about taking action and have laid the foundations to achieve our vision. We are also learning from others and in this booklet you will see a number of examples taken from outside of our organisation which we are looking to as best practice.

Now more than ever, it is vital that water companies remain attractive to long-term investment. Thoughtful evolution underpins the success of the industry, and will enable us to tackle major challenges such as a changing climate and growing population.

We invite you to look at how we are taking an innovative approach to ensure we provide a fair deal for our customers whilst also taking responsibility for the water environment for good.

Richard Flint Chief Executive, Kelda Group and Yorkshire Water

Foreword

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Water efficient regions

Excellent catchments, rivers and coasts

Safe water

Our vision...

How we will get thereTo help us achieve our vision for ‘Taking responsibility for the water environment for good’ we have developed six new strategic business objectives.

Measuring our businesses against the goals we set under each of these strategic business objectives will guide our actions to ensure that we are making progress in achieving our vision.

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A trusted company

Strong financial foundations

Sustainable resources

Taking responsibility for the water environment for good

We maintain and improve the water environment from source to sea and influence others to do the same.


What other people are doing

The Environment Agency’s Engagement with the Farming CommunityThere are many factors impacting on bathing water quality on Yorkshire’s coast. It is accepted that diffuse pollution is a major factor contributing to lower quality water on certain parts of the coast. The Environment Agency has taken a proactive approach to engaging with agricultural stakeholders with the objective of changing working practices which will in turn drive up water quality.

Through targeted engagement with estate owners and farmers and holding open discussion forums, the Environment Agency hopes to encourage behavioural change which will provide long-term, sustainable benefit. The programme of open engagement with the farming community on the problem of diffuse pollution has so far resulted in improvement plans being agreed with farmers.

Partnership working is key to improving bathing water quality on Yorkshire’s coast. Yorkshire Water wants to see more blue flags and we are investing £110m to meet the new, higher quality standards. We know that only by working together with local authorities and the Environment Agency will the potential for wider benefit to communities through environmental enhancements and growth in tourism be reached.

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What we are doing

River Don CatchmentIn the period 2010-2015 we are developing a holistic approach to delivering improvements in the Don Catchment which stretches from the upland moors above Sheffield to the Don’s confluence with the Ouse at Goole. This complex 70 mile catchment presents both urban and rural challenges and was once dubbed one of the most polluted rivers in Europe.

Over £100m is being invested in engineering solutions to significantly improve some of our key works in the area- including Blackburn Meadows Waste Water Treatment Works in Sheffield and Woodhouse Mill Waste Water Treatment Works in Rotherham. This work will ensure a much better quality of effluent is discharged to the river network tackling some of the key point source problems on the Don.

To complement this, we are conducting detailed investigations into more complex issues affecting water quality and biodiversity in the river system. We are leading the way on studies into heavily modified water bodies and rtRIVERi (Real Time River Integration); no other water companies are doing this. As well as this, we recognise that by sharing this knowledge and expertise we can inspire others to play their part in restoring the river to its full potential.

To do this, we have joined forces with the Environment Agency and other groups in the catchment to develop a collaborative approach to improve the environment. The ‘Don Network’ will maximise the benefits of our activities and support the efforts of others to create an excellent river environment long into the future.

We are taking responsibility for maintaining and improving catchments, rivers and coasts so that the quality of the water environment is of a high standard, all the way from source to sea. We are going beyond regulatory requirements to deliver excellent water quality on our coasts. Through an integrated understanding of the water cycle, our operations and the environment, we can simultaneously optimise our water resources, improve water quality and manage wastewater. We advocate a catchment approach to water management, working with partners and looking holistically at the water cycle.

Yorkshire Water’s catchment approach to tackling water quality issues at source is endorsed in the Government’s Water White Paper as it is more sustainable, avoids increases in costs for customers and supports other ecosystems services such as biodiversity and carbon storage. Further benefits can be brought by looking universally at the real time management of river catchments. We would like to see a move to flexible consenting which will deliver increased water supply security, river quality and environmental improvements as well as significant reductions in energy consumption.

The way we operate and influence others creates water efficient regions.Water

efficient regions

What we are doing

Saving water through pressure managementUsing ground-breaking new technologies we are cutting down on the amount of water lost through leaks in our network. We are working with i2O, a company providing innovative solutions to the water industry to reduce leakage.

The i2O solution is an integrated system that minimises leakage and burst frequency by remotely, automatically and intelligently optimising pressures in the distribution network. The system works by continuously adjusting the pressure in the network so that at all times of the day or night, it is at the optimum level. This is sufficient to provide great customer service but low enough not to cause excess leakage or burst frequency.

This technology allows us to reduce leakage without the cost and disruption to our communities of digging up roads. Using this new technology, Yorkshire Water is tackling the challenges of climate change and growing urban populations.

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Why use more than you need?

The UK’s population is predicted to grow by 10 million over the next 20 years and we cannot ignore this growing demand for our services. Water is a precious resource therefore we welcome the Government’s proposals to create a society which values water. By encouraging our customers to use water wisely and operating in a more sustainable way, we can manage the risks of population growth and climate change in the future.

Through our water resources management plan we are looking at how we can improve our resilience. Integrated water management could address issues more holistically, for example, both water scarcity and flooding could be tackled through dynamic permitting.

We support proposals to reform the abstraction regime and to introduce water trading between regions however these solutions must not be seen in isolation. When considering inter-regional water trading, the carbon cost of such solutions must be taken into account.


Water Sensitive CitiesAustralia faces a range of critical pressures related to climate change and urban expansion. Australia is experiencing critical water shortages along with increasing weather extremes and the degradation of urban streams and waterways. At the same time, public health is further threatened by urban heat as Australian cities become more consolidated to accommodate increasing population and changing social expectations.

Research is being undertaken to harness the potential of storm water to overcome these challenges. Through the practice of Water Sensitive Urban Design, the planning and design of a “Water Sensitive City” can respond to a range of issues. Water conservation and water security, risk of flooding, degradation of urban waterways and rising temperatures can all be addressed in a way that enhances the liveability of cities and towns.

The vision is to transform cities and communities in ways that will help them to live in harmony with natural water environments.

Yorkshire Water recognises the need to promote water as a precious resource and has launched a campaign to encourage people to use water sensibly and only when they really need to. Visit yorkshirewater.com/savewater

Integrated water managementOur vision for the industry

River abstraction licensing should be revised so that licence charging better reflects the environmental costs.

Opportunities to generate energy from renewable sources at water

treatment works should be maximised.

Integrated catchment management can help mitigate flood risk and remove the need for some energy intensive water treatment processes.

As water trading between water company areas could provide more sustainable outcomes, the barriers and disincentives to trading should be removed.

Customers do not think that leakage is acceptable and driving down leakage

could reduce the need for water abstraction and decrease treatment costs at water treatment works.

Rainwater harvesting could reduce the demand for treated water and assist in addressing water stress.

Opportunities to generate energy from renewable sources at waste water treatment works should be maximised.

Capturing surface water before it goes into the sewerage network would

reduce stress on that network, lessening the likelihood of flooding and pollution

incidents relating to that network.

It is essential that vulnerable customers are protected; companies

now need to assess social tariffs.

Surfers deserve clean seas. Effluent should be treated to an excellent standard before

it is discharged to our seas.

Smart metering would increase customer awareness

of water usage and could make the water distribution network

more ‘intelligent’.

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The operation and maintenance of surface water management could be integrated with the management of the sewerage network so that these services can be delivered more efficiently.


See what we are already doing on this on page 17.

See how we are working with partners to achieve

this on page 9.


Optimising treatment standards in light of water conditions could drive down the carbon associated with waste water treatment and deliver better overall environmental outcomes.


this on page 19.

Strong financial foundationsWater

efficient regions

See how we are working with partners to achieve this on page 9.



this on page 11.

Safe water means making sure that water does not cause harm to our customers, communities or colleagues. We protect public health by treating sewage and providing safe drinking water. We support legislation which drives up the quality of our drinking water however it is important to take into account the carbon cost of these quality improvements.

In our region we are all too aware of the damage that unsafe water can cause to properties and our environment. Sustainable solutions are the key to the long-term success of our industry and to keeping water safe for everyone but we would have liked to see the Government’s Water White Paper, “Water for Life”, go further to address surface water management. We want to protect our communities from the risk of surface water and we must ensure that we continue to play an active role in the integrated approach to the risk of surface water with our multi-agency partners.

We need to stay safe as we work to distribute and collect water from homes and businesses. The safety of the public, our colleagues and contract partners is of paramount importance to us whether visiting our reservoirs, working in our offices, on our sites or in our communities.

We protect public health and make sure water is safe to drink. We work safely. We ensure that water does not harm our customers or communities at any point in the process.

Safe water

What we are doing

Improving water quality through catchment managementWe are committed to improving water quality, in particular for colour and metaldehyde, by working collaboratively in the Yorkshire region. Our aim is to reduce our reliance on new processes that are energy and chemically intensive, and deliver a better environment for everyone.

In the River Derwent catchment we are working in collaboration with Natural England and local farmer, David Wilmot-Smith, to show how it is possible to grow a healthy crop without the use of metaldehyde, a chemical found in slug pellets. This will help sustain the reduction in the levels of metaldehyde found in the water we draw from rivers.

We aim to use this model of working together with landowners, their supply chain and their technical advisors in similar trials in other areas, to help us deliver our plans for colour reduction across our impounding reservoirs. Our aim is to improve water quality, reduce our chemical and energy consumption and deliver real environmental benefits for Yorkshire.


Madison Valley, Seattle In Seattle, USA, heavy rainfall is commonplace and communities are adapting to manage urban drainage in a sustainable way. In Madison Valley, Seattle, an innovative project is underway which will substantially reduce potential for storm-water and sewer flooding.

Typically when it rains, water is able to drain into the combined sewer system. However, during times of very heavy rainfall, the pipelines become full. This scheme provides an above-ground storm-water storage area with a capacity of 1.7 million gallons. The purpose of the storm-water holding area is to collect and hold this additional storm-water until capacity becomes available within the combined sewer system; this is expected to happen within hours after a heavy rain storm.

The site also serves as a community open space when there are no large rain storms. It includes creative design with native plantings, a dry creek-bed, walking paths and open green space.

Yorkshire Water is carrying out a number of pilot projects demonstrating our commitment to move towards a more sustainable approach to managing surface water.

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There is a significant environmental cost of collecting, treating and distributing water and we need to think differently about how we use our resources sustainably.

We would like to see a water sector that is incentivised to contribute to the UK carbon emission challenge. The water sector can do more in making sure that the water that we provide is sustainable, secure to supply over the long term, affordable for our customers and with minimal environmental impact.

We recognise the environmental impact of our operations and are taking a new approach to ensure we look at the social, the environmental and the economic impact of the resources we use. Our sustainable energy strategy sets out our first steps towards this goal.

The business uses sustainable resources, gets the most out of them and reduces emissions and waste.


InterfaceFounded in 1973, Interface is a global leader in the design and production of carpet tiles. Its products combine beauty and innovation with functionality and environmental credentials to help customers bring their design vision to life.

In the mid nineties Interface became one of the first companies to publicly commit to doing business in a more sustainable way when it set a bold target – Mission Zero – to achieve a zero environmental footprint by 2020. Mission Zero inspires the company to continually innovate in order to achieve its goal. The company has manufacturing facilities in the UK and the Netherlands, as well as sales offices in most major cities.

Through their product transparency approach, Interface has developed environmental data sheets to give a quick and fact-based overview of the main environmental impacts for each of their products throughout all phases of their life cycle. The environmental data sheets also highlight product features and services that help reduce the overall environmental impact.

Yorkshire Water is currently producing our own sustainability strategy which we look forward to publishing in the next twelve months.


What we are doing

Energy neutral sewage plantWe are reducing our energy consumption and our reliance on grid electricity through renewable energy generation and energy efficiency activities. We have an aspiration to create the UK’s first energy neutral urban sewage plant at our Esholt Waste Water Treatment Works (WWTW) near Bradford.

We are pioneering a more sustainable route for sludge disposal using a thermal hydrolysis system (Biothelys) combined with anaerobic digestion which will generate energy from human waste and effluent. Kelda Group was one of the first ever pioneers of thermal hydrolysis in the UK at Kelda Water Services’ Nigg WWTW in Aberdeen.

Thermal hydrolysis uses heat and pressure to break down sewage sludge prior to treatment by anaerobic digestion. The energy rich bio-gas which is created then produces electricity which will in turn power all of the plant. The digested sludge can then be used as a fertiliser or soil conditioner for crops, recycling essential nutrients back to agriculture.

This pioneering technology will enable us to save around £1.3 million a year at this site alone. Amongst the existing renewable energy technologies at Esholt are the UK’s first sewage screw hydro-generator which harnesses the energy from waste water as it enters the works creating around 5% of the site’s daily energy requirements.

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Strong financial foundations

A sector that is built on strong financial foundations will ensure we can continue to deliver our services to customers at a price they are willing and able to pay, whilst continuing to attract long-term investment. Stronger incentives for service levels and innovation coupled with the removal of barriers to reduce our carbon footprint would allow us to operate more efficiently and continue to make a positive contribution to the economy.

Support for vulnerable customers is vital and we were delighted to see our Resolve and Community Trust schemes cited as best practice in the Water White Paper. These are just two of a number of ways we are helping those who struggle to pay. We are also currently considering how we will implement a social tariff in line with Government policy.

Although water companies can and must deliver such benefits to vulnerable customers, it is important that there is a consistent approach nationally. Government guidance on which customers should benefit from a social tariff would be helpful. If water companies must decide which customers will benefit then access to local authority and/or government data on individual household benefits and pension credit would provide a consistent approach.

We deliver our services to customers at a price they are willing and able to pay, whilst providing investors with returns that attract long-term investment.


British Gas – Share the WarmthAccording to the Department of Energy and Climate Change, almost half of Britain’s homes do not have adequate insulation. Only 57% of Britain’s lofts have been properly insulated and only 58% of cavity walls have been filled. £1 in every £4 spent on heating is wasted due to poor insulation so energy efficiency can have a massive impact.

To help tackle the problem British Gas is offering free cavity wall and loft insulation to all its customers. To ensure the most vulnerable benefit from free insulation they have launched ‘Share the Warmth’.

People will be given £50 for every eligible person (being an individual on certain qualifying benefits) they refer to British Gas for free insulation. The money will be paid once the installation has been completed and there is no limit on the number of people they can refer.

As well as getting free insulation which will save hundreds of pounds off energy bills each year, the referred customer will also be paid £50 once the installation has been completed. The customer does not need to buy their gas or electricity from British Gas to qualify for the deal.

Yorkshire Water also encourages customers to take an active role in tackling issues associated with our changing climate by giving away free water saving packs to customers at yorkshirewater.com/savewater

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What we are doing

Helping hands registerYorkshire Water offer additional services to vulnerable customers through our Helping Hands Register. This service helps older customers or those with sight or hearing difficulties, a disability or serious injury, mobility issues or a serious medical condition. We provide help with reading bills, meter reading and provide alternative water supplies when necessary, for example for customers on dialysis.

We provide a freephone number for Helping Hands enquiries and applications. The same freephone number is also given to, and used by, customers who wish to check the identity of any visitor purporting to represent our company. Bogus callers are a particular problem for our disabled and elderly customers and our password service together with general advice aims to combat this problem.

The Helping Hands services are promoted through various channels including targeted promotional campaigns. We work with local police forces and local authorities to try to ensure that we are reaching all those out there who could benefit from the service.

A trusted company

Turning on the tap and flushing the toilet is second nature to our customers. We are trusted to provide clean drinking water and to take away waste but we can not do this without the support of our communities.

We are experts in water and wastewater management and take our privileged role as environmental stewards very seriously. We are pleased to see close parallels between the Government’s Water White Paper and our own vision ‘Taking responsibility for the water environment for good’. We know our communities are concerned about issues such as surface water management and pollution and we are serious about playing a full role in tackling these challenges.

We need to earn the support of our customers to build our investment plan which will enable us to deliver benefits to communities. We must do business in an open and honest way, building trust with our stakeholders and considering the impact of our operations on the environment. This is vital to being a successful company and achieving our future aspirations.

The way we do business means our products, services and promises are trusted by all our stakeholders, now and in the future.

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Asda – Customer dialogue on green issuesAsda’s corporate strategy is about being sustainable, and like the Kelda Group, Asda intend to practice what they preach. That is why they carried out research with their customers to find out what really matters to them when it comes to green issues. Every month in 2011 Asda asked 6000 of their customers what green issue they were most interested in and why.

Through this dialogue with customers, Asda were able to understand how their customers want them to support the green agenda. The research has proved that there is widespread support for tackling green issues amongst customers. The ‘Green is Normal’ report has helped Asda to identify five new priorities on sustainability which their customers are living and want them to live too.

Yorkshire Water is keen to keep up to speed with what matter to our customers the most and is engaging in a dialogue with customers and stakeholders to inform our investment programme for 2015-2020.

What we are doing

The Big TransferOn 1st October 2011 the responsibility for 22,000 kilometres of private sewer pipes transferred to Yorkshire Water overnight. This was a change in law which provided clarity on ownership of sewers and removed the burden of maintenance and repair from householders. We saw this as an opportunity to show that we could take on more responsibility whilst protecting our customers and our reputation.

This sudden growth of our asset base posed a risk to our business particularly as we knew that the pipes that were to transfer were likely to be in a poor condition. Our approach was to plan ahead to ensure that we could continue to provide a great service to our customers in the transitional period.

Through effective project management, a targeted communications campaign and early engagement with stakeholders we were able to manage the change effectively and ensure a consistent service throughout. With the Private Sewer Transfer we were able to demonstrate our ability to take on new responsibilities that have a clear benefit to both our customers and our operations.

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Conclusion ‘Taking responsibility for the water environment for good’ has set our direction of travel. We are challenging ourselves in the way we operate asking ‘what is right for our customers and for the environment?’ This booklet gives some examples of how we have started to move towards our goal and are changing the way that we work.

We are pleased to see our vision is echoed by the Government and our regulators with environmental issues such as resilience high on the political agenda. We would like to tell you more about what we are doing and would also welcome feedback. To discuss this booklet in more detail please contact Louise Green in the Stakeholder Engagement Team by emailing [email protected]

To discuss this paper in more depth please contact:Louise Green Stakeholder Engagement Advisor [email protected] yorkshirewater.com/publicaffairs

Kelda Group Ltd Registered office address Western House Halifax Road Bradford West Yorkshire BD6 2SZ

May 2012

Documents

Taking responsibility for the water environment for good