Deputy First Minister has today (Tuesday, October 21) outlined plans
to fundamentally reform the way water is managed, regulated and
delivered in Wales
Addressing the findings of the Independent Water Commission
Report in the Senedd, the Deputy First Minister said this was a
‘once-in-a-generation opportunity' to reset the water sector and
build a better system for Wales.
He told the Senedd that changes would mark a decisive shift
towards a more sustainable, fair and transparent water sector
that puts people, the environment and future generations at its
heart.
“This is a moment to do things differently – and to do them
better,” he said.
“Our current water system does not work as well as it should for
people or for the environment. People are rightly worried about
their water bills and the state of our waterways.
“That has to change. This is a once-in-a-generation opportunity
to reset the water sector. A golden opportunity to clean up our
rivers and seas, deliver better value for Welsh bill-payers, and
build a water system that's accountable, transparent, and
designed in Wales, for Wales.
“We will take the time to get it right, and we will work with
partners and the people of Wales every step of the way.”
One of the Commission's key recommendations is the creation of a
dedicated economic regulator for water in Wales, incorporating
water system planning functions. The Welsh Government has
confirmed it will take this forward.
This new, stand-alone regulator would deliver a more integrated
and responsive approach to managing water – strengthening
public confidence and supporting long-term investment in
infrastructure and environmental protection.
A consultation on the proposed model will be launched later this
year to ensure the new regulatory framework is robust,
transparent and aligned with Welsh priorities.
The Deputy First Minister confirmed that the Welsh Government
will also seek new powers for the Senedd. If agreed, these powers
would, for the first time, enable Wales to legislate
independently for the water industry – aligning regulatory and
planning functions fully within Welsh borders.
The reforms will establish clear national direction and
accountability for water management, ensuring that long-term
planning – from supply to climate resilience – is consistent with
Wales's wider goals for the environment, health and
prosperity.
The Welsh approach will move away from the competition-led model
inherited before devolution, towards an ethical, collaborative
framework built on sustainability, affordability and
fairness.
To maintain stability and public confidence, a shared transition
plan will be co-designed with the UK Government, setting out the
route to a new water system in Wales. Interim arrangements,
including a Strategic Policy Statement to Ofwat and other
regulators, will provide clarity during this transition
period.
The Deputy First Minister added: “Reforming the water sector is a
complex, long-term task – but it's also an opportunity to create
a better water system and show what devolution can achieve.
“By working together – with the UK Government, with regulators
and water companies, and with communities across Wales – we can
build a system that delivers for our environment, our economy and
our people for decades to come.”
The Welsh Government will publish its vision for water reform in
Wales later this year, setting out next steps and inviting views
from customers, businesses, regulators, and the wider
public.
