Challenges for water companies in
the next review
As the privatised water industry has matured in England and Wales, the regulatory regime has become tougher. The next periodic review in 2004 may well pose even greater challenges to the water companies, as the Office of Water Services (Ofwat) struggles to reconcile the investment requirements flowing from new environmental obligations with political pressures for low prices. 2002 offers a window of opportunity for strategic pre-planning by both companies and regulators.