Dŵr Cymru Welsh Water, the only not-for-profit utility company in Wales and England, has today announced that it has invested £153 million in the past six months on projects that will not only improve services for customers but will also help tackle the climate change crisis. 

As part of its £1.8 billion investment plan for 2020-2025, the company is also on track to generate record levels of renewable energy this year.

The company, which earlier this year announced plans to reach net zero carbon emissions or better by 2040, is making significant progress towards its target to self-generate from renewable sources all the energy it requires for its operations by 2050. The company has revealed a 6% increase so far this year in the energy it generates through its extensive renewable portfolio, compared to levels seen in 2020.  The increase from 54GWh to 57GWh has saved 849 tonnes of carbon emissions and is enough energy to power 900 family homes.

The company has invested heavily in renewable energy assets over recent years, including its flagship £36 million energy park in Wrexham, North Wales. This site alone now produces 40GWh of gas each year – which is fed into the local network and is enough renewable gas to heat around 30,000 family homes. More recently, Welsh Water has invested £50 million in its Cog Moors Wastewater Treatment Works in the Vale of Glamorgan to help improve the overall effectiveness of the site and generate clean, green energy from sewage sludge through a state-of-the-art Advanced Anaerobic Digestion (AAD) facility. The site will now generate 16GWh of electricity per year, which is enough energy to power 4,800 homes per year and sufficient to power the works entirely, making it an energy neutral site.

With COP26 underway in Glasgow, the company is today hosting its own mini-summit education session for 60 primary schools across Wales to build their knowledge of the role of water and waste in tackling climate change.

Speaking of the announcement, Minister for Climate Change Julie James MS, said: “I’m delighted to hear of Welsh Water’s progress against these ambitious targets. The company is placing climate change at the heart of everything it does.  This is crucial as part of a wider ‘Team Wales’ approach to achieving a sustainable, green Wales for future generations.”

Welsh Water, which serves over three million people across most of Wales and some adjoining parts of England, relies heavily on energy to deliver its essential services. It currently generates 23% of its own energy needs through wind, hydro, solar and advance anaerobic digestion (AAD) with the rest procured from 100% renewable energy resources. The company plans to invest a further £21 million to be 35% energy self-sufficient by 2025. As well as committing to becoming carbon neutral by 2040, the company aims to reduce total carbon emissions by 90% by 2030.  

Glas Cymru Chairman, Alastair Lyons, said: “The progress so far is testament to how the investment Welsh Water is making in services for the future is focused on the long-term, taking responsibility for its role in managing climate change – the biggest challenge of our time.

“As a company with a single focus on its customers, Welsh Water is rooted in the communities it serves and has an ongoing commitment to them and our environment.”

Welsh Water Chief Executive, Peter Perry, said: “We carry a heavy responsibility, as the decisions we make now in response to climate change will have a direct impact on future generations. We are part of what has always been an energy intensive industry, but our progress so far shows that it’s possible to set a path to net zero.

“We’re investing over £61million in innovation, such as using nature-based solutions to treat wastewater, responding to climate change by replacing the carbon intensive traditional methods that have been adopted previously.

“We adopt a Team Wales approach and we’re working closely with Welsh Government, stakeholders, colleagues, and customers to find the right answers.”

The announcement coincides with the company publishing its interim financial results for 2021-22, showing that it invested nearly £1 million a day over the past 6 months – with £14 million invested in environmental improvements which will help protect the quality of rivers and coastal waters around Wales. 

Between 2020 and 2025, the company will invest £765 million in its wastewater assets, with £101 million to improve the performance of its combined storm overflows as part of its commitment to protect the environment.