Selborne Commission highlights super sewer alternatives
Monday October 31, 2011
Lord Selborne announces his Thames Tunnel Commission (TTC) report
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The River Thames can be made cleaner and London can fulfil its obligations to meet EU directives on water quality without building the hugely disruptive and expensive ‘super sewer’.
This is one of the key conclusions from Lord Selborne’s Thames Tunnel Commission (TTC) which were made public today (October 31) following months of detailed analysis.
Thames Water has been promoting its controversial multi-billion pound concrete tunnel as the best solution to cleaning up the river – a solution which will add an estimated £6-£12 per month to water bills of 14 million customers.
Fears over spiralling water bills and residents’ protests over the loss of open space and regeneration sites prompted five London councils to sponsor a panel of internationally renowned experts, led by Lord Selborne. The TTC examined whether there are sensible alternatives to the super sewer, or Thames Tunnel, as it is also known.
Following a series of public hearings, which considered oral and written evidence from Thames Water as well as a wide range of statutory bodies and interested parties, the TTC recommends that:
- The primary reasons for rejecting the Babtie option*, which recommends a shorter EU compliant tunnel that costs less than half the current super sewer estimate, should be revisited as a matter of urgency.
- Complimentary green infrastructure solutions that minimise the amount of fresh rain water entering the sewerage system should be considered, particularly in light of new EU legislation on environmental sustainability.
- Defra, the Environment Agency and Thames Water should give very careful consideration to the other alternatives as proposed by Chris Binnie, Chairman of the Thames Tideway Strategic Study Group from 2000 to 2006, and Professor Colin Green, who is a national expert on water economics.
- Thames Water should examine the experience of other EU member states in complying with the Urban Waste Water Treatment Directive and take note of the experience of world cities like Chicago and Milwaukee.
Lord Selborne says: “Our forensic analysis shows there is a substantial body of evidence pointing to the fact that there is a smarter way to make the River Thames cleaner. A shorter tunnel, combined with green infrastructure solutions that are built up incrementally in the medium to long term, would be both compliant with EU directives and less costly and disruptive to Londoners. These alternatives require further study.”
The TTC also echoes the views of hard-pressed utility customers in questioning the escalating cost of the sewer. In June this year Thames Water’s Chief Executive, Martin Baggs, admitted that the tunnel’s current estimated price of £3.6billion is based on 2008 figures that ‘will inevitably increase’. The admission came despite Environment Secretary Caroline Spelman demanding that ‘not a penny extra be spent’ on the super sewer.
“There are serious concerns about the escalating costs of the Thames Tunnel and the impact this will have on customers,” continues Lord Selborne. “Many bill-payers will be pushed into water poverty which is not acceptable when there are viable alternatives that should be explored further.”
Thames Water customers from Essex to Swindon and all Londoners can expect to pay a minimum of an extra £65 per year for life on top of current bills, doubling the cost for sewerage, to pay for the super sewer.
Speaking to reporters last week, Professor Green said Thames Water stands to make a colossal £162million a year in additional revenue from its 20-mile long super sewer due to a ‘perverse incentive’ in the way the water industry is financed.
Chris Binnie, who worked for Thames Water to create the original sewer plans, presented evidence to the TTC arguing that the whole basis for the project was out of date and needed to be revisited.
The TTC is sponsored by the London Boroughs of Hammersmith & Fulham (H&F), Richmond, Southwark and Tower Hamlets and the Royal Borough of Kensington and Chelsea.
Cllr Stephen Greenhalgh, H&F Council leader, says: “The Selborne Commission has done some sterling work in taking a cold, hard look at the facts. It is now clear from the commission’s detailed report that Thames Water has failed to make the case for the super sewer.
“Thames Water has a vested interest in pushing through this gold-plated scheme and this is why it has chosen to ignore the water industry experts who have repeatedly come forward to say there are alternatives. We now know that there is another way to improve the cleanliness of the river without the huge environmental, social and economic costs.”
A consortium led by the Australian bank, Macquarie, bought Thames Water for £8billion in 2006 and if the super sewer goes ahead the regulatory capital value (RCV) of Thames Water will increase by at least 40 per cent. This will allow Thames Water executives to charge customers much higher bills in future and make a large profit on their borrowings.
Cllr Greenhalgh says: “If we are not careful we will have a situation where 14 million Thames Water customers will pay a fortune on top of their current bills to fund the construction of a massive concrete tunnel which is driven by EU directives but ultimately designed to deliver profits for an Australian bank.
“Given the huge body of evidence now available against the super sewer it is time for Defra, backed by Ofwat and the Environment Agency, to compel Thames Water to go back to the drawing board.”
Councillor Peter John, Leader of Southwark Council, said: "As a riverside borough, we are absolutely committed to the aim of cleaning the Thames and preventing sewage leaks, but the Thames Tunnel plans appear unnecessarilly disruptive and costly.
“We're equally concerned that in the current economic climate, with the rising cost of living, the last thing that Londoners need is a scheme that will cost the equivalent of £70 for every single water bill-payer in the city.”
Sir Merrick Cockell, Leader of the Royal Borough of Kensington and Chelsea, said: “These are very interesting findings which should spark a much needed debate about the best way to keep the Thames clean. I look forward to Thames Water and the Government’s considered response to this report.”
Lord True, Leader of Richmond Council, said: “Given the state of the country’s finances Thames Water should carefully consider whether this tunnel represents value for money for its customers. At this time of financial thrift, the company would be wise to heed Lord Selborne’s advice on costs and benefits. The £3.6billion cost was based on 2008 figures which will more than likely rise. Bill payers will want reassurances that the company and ministers have an iron grip on the costs, and that it really will make a difference, especially if Thames Water stands to make profits out of the tunnel.
Download the full Thames Tunnel Commission report» (pdf 1.4MB)
* From 2000 to 2006, the Thames Tunnel Strategic Study investigated grey infrastructure options to address sewage and storm water discharges into the Thames River. The project’s scale and estimated cost prompted Ofwat to commission Jacobs Babtie Engineering, in August 2005, to review the options and examine potential for a less expensive solution. Babtie reported in February 2006 and criticised the options, evaluation criteria, objectives and highlighted construction, operational and maintenance risks. Instead, Babtie recommended a compliant option of a shorter tunnel, intercepting 70 percent of sewer overflows, and a suite of other initiatives to minimise sewage pollution, costing almost half of the full tunnel option.
Chairman - The Earl of Selborne GBE FRS
Lord Selborne has sat in the House of Lords since 1972. He chairs the Foundation for Science and Technology and is a former Chairman of the Lords Select Committee on Science and Technology. He is the current Chairman of the Partners Board of Living with Environmental Change and has been President of the Royal Geographical Society and Chancellor of the University of Southampton.
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