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Water faces rising costs

UK water utilities are expecting rising electricity and environmental costs as they and their regulator prepare for the next five-year price review. Maria Kielmas reports

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UK water sector participants are taking the first steps in a long-term rethink of how they manage their energy risks. Water companies’ environmental liabilities are on the increase as a result of UK and European Union (EU) legislation, and the regulator, the Office of Water Services (Ofwat), is pushing for more operational cost savings through greater efficiency.

Compared with other major energy-consuming industries, such as chemicals or forestry, energy management in the water sector

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