17 November 2006
Scottish Water has saved its customers almost £1bn since it was created in 2002, the industry's regulator said this week.
The Water Industry Commission for Scotland, headed by Sir Ian Byatt, said the publicly owned utility had cut its running costs by 40% since 2002 and was achieving 20% better value for money on its investment. Savings in 2005/06 were around £8m a week.
Byatt said: 'Scottish Water's greater efficiency has benefited customers by keeping their bills down while improving service quality. We expect this to continue in the coming years.'
Deputy environment minister Rhona Brankin said the savings of £946m in operational and capital delivery costs were unprecedented in the public sector.
The commission's Costs and performance report 2003–2006 said water bills for household customers were now £90 a year lower because Scottish Water has improved its efficiency.
The report is a boost to Scottish Water, which has been criticised for being less efficient than the privatised water companies in England and Wales.
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