You seem to be under the impression that the water companies should have the infrastructure in place to be able to cope with a huge spike in demand the like of which we essentially haven't seen for 30+ years. It's just like the people that moan we can't grit all of our roads in winter because we have one exceptionally bad winter every 10 years. No company in the world can realistically organise it's infrastructure to cope for extremes like this. And if you do it would simply be wasted investment for the 99% of the time it is needed.
Actually, that is exactly what water companies do - Each asset is built to cope with a specific frequency of event, ie 1-in-15, 1-in-30 or 1-in-50, meaning an extreme incident that you would expect to occur only once every 50 years....
The problem is when it happens more often, which we're now starting to see with current changes in weather and the difficulty in upgrading things that were not designed for 14 million people's infrastructure lumped over the top of it.
Guessing from your location that you work for Thames Water?
They're one of ours, yes, and the one I mainly am involved with.
They are the absolute worst example of privatisation - compare the amount of dividends they have paid over the last decade with the amount of corporation tax and the huge pension deficit.
Yeh, now compare their current performance to the days before privatisation, when absolutely **** all ever got done and it all got tied up in local council bureaucracy, responsibility and ownership got bounced around between all manner of different departments, records were virtually non-existent, and the whole thing was just another Old Boys Club.... You really wanna go back to those days?
Dividends are paid to the shareholders, who are mostly investment companies working on behalf of pension funds. Chances are if you're British and have a pension, it's invested in a company like Thames.
The corporation tax thing was perfectly legal, however immoral you might argue it... and the borrowing of pensions that created the deficit was partly due to the old Final Salary thing from ye olde dayes, which many similar companies struggled over, but again all perfectly within the law.
The amount they are borrowing has massively increased too - where exactly has all this money gone?
Now THAT was down to the company itself being owned by other private companies - In this case the Germans at RWE and later the Australians at MacQuarries, both of whom mortgaged the company against their own borrowing, asset-stripped it, and then flogged it off before the **** hit the fan. In short, it got nicked by the owners.
Certainly not into any investment around here where it look them 10 weeks to fix a leak and where every winter sewage regularly floods the school playing field and is then pumped into the local river.
Repair work is made complicated by the bureaucracy of other parties (local councils in particular). With no such barriers, I could have my guys out on site and fixing a sewer within 2hrs...
Flooding depends on many different factors. The most problematic right now is a combination of new builds pushing the system over capacity and too many people paving over the soakaway systems, customers flushing things they shouldn't, and unmapped private sewers not being maintained.
But believe it or not, investment in maintenance and upgrading of infrastructure is dictated entirely by the regulator - If OFWAT say they can only spend X on that, then that's all they can do.
For some strange reason they have no concerns over capacity when new developments are proposed though - brown envelopes perhaps...
Just the opposite - Thames have a massive Developer Services department, who are constantly raising cases against builders for implementing things without approval. They also have one separate department specifically for buildovers and another dedicated to mis-connections.
How is it not unlimited then. I cant find anything that says i have a fair usage agreement
Because it's not necessary - If people start overusing, the water simply runs out and you are then physically limited by the fact of the reservoir being empty.