Water firm fined £2 million
Published Date:
03 July 2008
SEVERN Trent Water Ltd has been fined £2 million and ordered to pay £220,000 costs at the Central Criminal Court after pleading guilty to two offences relating to leakage data supplied to Ofwat in 2001 and 2002.
Severn Trent had estimated that it lost 340 megalitres of water a day through leaks and broken pipes – but the figure was closer to 514 megalitres.
The penalty follows a £35.8m fine imposed on the company by Ofwat in April for deliberately giving false information and for poor customer service between 2005 and 2007
Tony Wray, Chief Executive of Severn Trent Plc, said: "We deeply regret the mistakes of the previous regime for which we have apologised to customers. There were indefensible shortcomings in Severn Trent's previous management and control systems during the 2000 to 2004 era.
"No one who was responsible is with our organisation now and we have already ensured that Severn Trent did not profit from these failures by crediting customers' accounts and altering bills appropriately," he concluded.
Having taken legal advice, and considered the best interests of customers, the Board of Severn Trent has decided not to take action against the former management.
The full article contains 201 words and appears in Buxton Advertiser newspaper.
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Last Updated:
02 July 2008 5:45 PM
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Source:
Buxton Advertiser
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Location:
Buxton
