Extreme climate price South East Water £17m final yr
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water provider in southern England has mentioned final yr’s record-breaking heatwave and different excessive climate price it round £17 million over the last monetary yr.
South East Water mentioned the rapid response to the climate, similar to sourcing new water, price it some £6.6 million.
It incurred prices of one other £4.9 million repairing leaks and bursts in its pipe community, and on prime of that it paid prospects £5.5 million in compensation.
Extreme climate occasions have had a major affect on our efficiency up to now yr
The utility firm mentioned on Monday: “Whilst we acknowledge that the climate is changing, we have seen an exceptional combination of extreme weather events this year that has significantly impacted on our business operations and financial performance.
“While we have done everything we can to meet the exacting performance targets and rigorous environmental commitments that go even beyond our statutory obligations, extreme weather events have had a significant impact on our performance in the past year.”
The enterprise mentioned it has handled the driest circumstances in Kent since data started in 1836, and the bottom rainfall in Sussex since 1911. On prime of that, water demand was at an all-time excessive throughout the hotter weeks.
South East Water provides properties in Surrey, Kent, Sussex, Hampshire and Berkshire.
The prices helped push it to a pre-tax lack of £74.2 million within the yr to the top of March, down from a revenue of £17 million a yr earlier. Revenue was up 2.5% to £257.5 million.
South East Water is dealing with difficulties once more this yr.
After the most well liked June on file it has been pressured to impose a hosepipe ban on its prospects in Kent and Sussex.
It comes amid a interval of stress on water firms, which have been within the highlight over their dealing with of sewage.
Last week Thames Water managed to safe one other £750 million of funding, which helped it keep away from a possible collapse.
The firm’s debt has ballooned to round £14 billion over latest years, which has change into particularly problematic as rates of interest soared.