Performance, People and Planet 2015 - 2016 South East Water annual performance summary and corporate social responsibility report Our business Good to know South East Water, supplies top quality drinking water 540 million litres of water a day – that’s how to 2.1 million customers in the south east of England. much water we supply to around 2.1 million Through a network of 9,000 miles of pipe, we deliver people 540 million litres of water every day. The skill and expertise of our employees ensures our customers’ 83 water treatment works – that’s how we water meets the highest of standards. ensure our water is of the highest quality

Our vision is to be the water company people want to – that’s be supplied by and want to work for. Everything we do 500,000 water quality tests each year how we ensure your water meets the highest is underpinned by technical excellence. standards

9,000 miles of water mains – that’s how we Our supply area transfer fresh drinking water direct to your tap

849 employees – that’s how we make sure your water supply runs 24 hours a day, 365 days a year

How we invest in your water Where each £1 of your bill is spent

Water extraction 8%

Water treatment 20%

Western region

Eastern region Getting the water to you 31%

Cost of capital investment and maintenance 31%

Customer 10% service Our people... Our people... Our people...

South East Water Our approach Our customers Our community Our behaviour Our planet Our performance

Performance, People and Planet Report 2015-2016

We aim to have unified business processes Our customers’ priorities lie at the heart Our infrastructure delivers a reliable We strive to inspire and motivate our We aim to minimise our overall We take our commitments to our which ensure we act in an environmentally of all we do. Learn more about how we service to our customers. Learn more people and partners. Learn more about environmental impact. See how we are customers very seriously and strive to sustainable, economically beneficial and are working to improve our customer about how we are investing in our local how we aim to be a better neighbour, take managing the environmental impact achieve our targets. See how we have socially responsible manner. satisfaction performance, how we ensure communities. See how we are investing to account of the views of those with a stake of our operational and investment performed and how we assure our data. our customers receive the best levels reduce the risk of low pressure, leakage in our business and foster good working activities. of service and the ways that we are and how we are working within our relationships with them. improving our communication. communities to improve our levels of service.

Contents Contents Contents Contents Contents Contents Introduction 4 Our approach: 13 Our approach: 23 Our approach: 31 Our approach: 37 Our approach: 47 How we do business 8 Outcomes:  Outcomes:  Outcomes: Outcomes: Outcome performance summary 48 Customer satisfaction 14 Low pressure 24 We are compliant with health Leakage level 38 Outcome definitions 50 Customers consider bills to be value Interruptions to customers’ and safety regulations 32 Meeting the water deficit 38 Assurance summary 54 for money and affordable 16 water supply 24 We are compliant with national Number of breaches of abstraction Service incentive mechanism 19 Water main bursts 27 security obligations 32 licences, discharge consents and Customer panel 20 Mean zonal compliance 27 We are compliant with other statutory environmental permits 40 obligations and licence conditions 32 Discolouration contacts 28 Number of pollution incidents (category 1-2) 45 Above ground asset performance 28 Kg of carbon emissions Number of sites at risk of flooding 28 per customer per year 45 We will monitor our abstraction at low flows at environmentally 45 South East Water Performance, People and Planet 2015 - 2016 Our approach

Performance, People and Planet Managing Director’s introduction

Welcome

Welcome to our first performance, Each commitment and value helps People – Whether it’s our customers people and planet report. us focus on how we run our business (page 12), community (page 22) or today and how we plan for the long our own behaviour (page 30) our We are pleased to present our term. Within this report you will see interactions with the people who performance for the year 1 April 2015 how these commitments and values matter to our business is vital to our to 31 March 2016. influence our approach. success. Our performance is measured against This report presents our performance Planet – Clearly the supply and quality the commitments we made to our across the delivery of service of the water resources we have customers as part of our five year priorities for our customers but also available to us is greatly influenced business plan, we call these outcomes. in areas of environmental and social by the environment from which we This year has been the first reporting performance previously reported in our source our water. Our planet (page year of the five year regulatory period environmental and social achievements 36) details how we work to reduce our 2015 to 2020. report. own environmental impact and work with others to ensure we are guardians The aim of this report is to clearly Corporate social responsibility is at the of the environment. and openly explain how we have core of everything we do, as a water performed in delivering the services company constantly interacting with Performance summary we promised our customers. our environment it is intrinsically part of the DNA of how we work. We aim to For some of our outcomes we are We would like to go beyond our have unified business processes which able to earn financial rewards or incur usual level of reporting by giving ensure we act in an environmentally penalties for performance that does you an insight into what we do, what sustainable, economically beneficial and not achieve our targets. These rewards it means to work with us and the socially responsible manner. All parts of and penalties were consulted on during positive impact we have on our local our business are involved in the delivery our business plan process in 2014. communities and environment. of our environmental management Overall, this has been a good start Everything we do is inspired by our objectives and these are integral to the to our five year investment period. vision “to be the water company outcomes we are delivering. We met our outcome targets in people want to be supplied by and This report into our business focuses on: water quality, leakage and want to work for.” We have five pressure. We had no serious business commitments and core Performance – Throughout the report pollution incidents in the year, values which were developed as we have highlighted our performance although we did have a number part of our strategy and support the against the outcomes we have of breaches of our abstraction delivery of our vision (see page 8 for promised to deliver. The final sections licence and discharge consents further details). summarise our performance (page 46) – we are working to ensure and we also look to the future (page Kevin – Regional Production Manager more robust processes are 56) at how we plan to continue to Our popular open days at Arlington Reservoir in place. „ and water treatment works, led by Kevin, are improve. part of our continuous customer engagement and education 4 5 South East Water Performance, People and Planet 2015 - 2016 Our approach

Our vision is to be the water company people want to be supplied by and want to work for We have put satisfaction at the heart of our promise to customers

At the start of the year a burst I hope this report gives you a greater on an 18 inch diameter main in insight into South East Water and Hailsham unfortunately led to a 45 how we are working to achieve our hour interruption, which meant our vision to be the water company average time was 32.1 minutes per people want to be supplied by property. However, after excluding and want to work for. this exceptional incident, which was probably the biggest incident the Paul Butler company has ever had, our average Managing Director time after adjustment would have 15 July 2016 been an average of 9.1 minutes per property. We have made significant progress in customer service which is reflected in a 38 per cent reduction in the number of complaints we received during the year but we know that we have further work to do on our vision to improve How we customer satisfaction. Thank you performed

I would like to thank all South East Performance met – Target of Water employees, suppliers and our committed performance level board, for their ongoing commitment achieved and support. As we head into the second year of our investment Performance not met but – period, I am pleased to see customer Target of committed performance level not met but satisfaction is at the heart of our within allowed range and where business promise and that we have no penalty is incurred a team at South East Water that is passionate about ensuring we deliver Performance not met and – on the commitments we made to all Target of committed our customers in our five year plan. performance level not achieved

In the case of outcomes with a Kevin – Regional Production Manager five year target, the assessment In Eastbourne we’ve installed a new is based on whether our microfiltration system to improve water performance is consistent with quality and secure supplies into the future achieving the target. 6 7 South East Water Performance, People and Planet 2015 - 2016 Our approach

We have launched a new vision and values to support our strategy Introduction to our business

How we do business In addition to our outcomes there are Achieving our vision a large range of statutory regulations For the period 2015 to 2020 we have To support the delivery of our vision that we must comply with and key introduced a new range of measures we have developed five commitments performance indicators that we are and targets to track our performance. which help us focus on how we run required to report. In particular, there These targets are based on the our business today and how we plan are a large number of environmental outcomes our customers have told us for the long term, with our employees reporting requirements to which we they want. ensuring our customers are the must comply including Biodiversity priority in everything we do. How our customers feel about 2020 and Natural Environment the service we deliver is equally as and Rural Communities Act, 2006. • Every customer counts – Our customers’ important as the range of measures We recognise our duty to act priorities lie at the heart of everything we have in place to track our as a responsible steward of the we do operational performance. biodiversity on our landholdings and • Everyone counts – We inspire and our requirements to ensure we inform An outcome is effectively the motivate our people and partners all interested stakeholders of our performance commitment we’ve •  – Our operational progress in this regard. Every action counts made about how we do business – it performance is safe, effective and sets out what we are trying to achieve, We monitor and evaluate our efficient rather than just what we will do. performance through this annual • Every drop counts – Our infrastructure corporate social responsibility report, An outcome also allows us greater delivers a reliable service to our and this report will help you to learn flexibility on the way we deliver our customers more about how our business operates water supply service compared to •  – We plan responsibly. Our future counts our previous focus on just outputs. It effectively for the long term „ moves us away from delivering specific Our vision and strategy activities, to focusing on whether the activities we undertake are the During 2015-16 we have launched a right ones to achieve what customers new vision and values to support our have told us is important to them. strategy to achieve our outcomes for An outcome also needs to meet the the five year regulatory period. expectations of our regulators and We have put both customers and our those with an interest in our business. people at the heart of our vision for More information about our the future which is to be the water outcomes, how we have performed, company people want to be supplied our targets, the challenges we face by and want to work for. and the work we have done to meet our commitments is included in each section of this report. A summary table of our performance and detailed definitions can be found in the “our performance” section (page 46).

Emily – Inorganic Chemistry Analyst We test more than 500,000 samples at our state-of-the-art laboratory in Farnborough 8 9 South East Water Performance, People and Planet 2015 - 2016 Our approach

Our core values Core values support our vision and us and what characterises the way we Passion – Dedicated to delivering a Excellence – Striving at all times to be Following the launch event an commitments, and reflect what deliver our service, we created and safe, reliable service, always caring for the best and deliver the best employee survey found that South East Water is all about. defined our own unique set of core our customers and each other 98% felt the vision had been well We know that our people are the key values: communicated. Through workshops and interviews Agility – Responsive, flexible and to our success. Our “count me in” with employees talking about what Trust – Dependable, safe and sound, adapting quickly to change employee engagement programme it's like to work here, what our people as a team always delivering on our has worked during the year to ensure Creativity – Fresh thinking, improving, stand for, what customers expect of commitments. Guardians of the employees and our suppliers and See our annual report for more information at never standing still environment partners understand our plans for the southeastwater.co.uk/reporting2016 future and the vital role they all play.

1 V i s i o n u Our vision, “to be the water company people want to be supplied by and want to work for,” is the source of our inspiration and is the start of our journey How we do business

2 Values 6 Customer Core values support our vision and satisfaction commitments, they shape our culture outcomes and reflect what we are all about We aim to deliver • Trust a five-out-of-five • Passion service to achieve customer • Agility u u • Creativity satisfaction • Excellence

5 Measuring success outcomes We measure our 3 Commitments success through We developed five commitments which ensure we will reach our vision continuous monitoring and reporting of our outcomes Every Everyone Every action Every drop Our future 7 Business customer counts counts counts counts environment counts There are many factors that feed Our customers’ We inspire and Our operational Our We plan into our process priorities lie motivate our performance is infrastructure effectively at the heart people and safe, effective delivers for the long whether those be of everything partners and efficient a reliable term from the external we do service to our environment, customers Customers such as political Employees and regulatory, Partners environmental,

Community u

u social and Regulators technological, or Investors internal factors of our people, assets 4 Continuous and financing engagement Filtering through everything we do is engagement with those

with a stake in our business

u u 10 u 11 South East Water Performance, People and Planet 2015 - 2016 Our people... Our customers

On average our customers scored us Our people... 4.6/5.0 Our for the frequency and duration of interruption to their supply customers 4.1/5.0 for the taste and odour of their water 4.2/5.0 Our approach for the water pressure experienced in their home

“Every customer counts” is one of our five commitments and ensures that our customers’ priorities lie at the heart of all we do. We aim to provide a service to customers to make us a provider of choice. We are committed to increase customer satisfaction across a range of measures, responding to the challenges set by our customers. We have developed an innovative approach to the outcomes agreed through our business plan, using a monthly customer satisfaction survey. We wanted to focus on all customers, not just those who contact us, giving the silent majority a voice. This helps us to better understand what influences customer satisfaction and allows us to react to their views constantly. 71% Across the company at every level on average 71% of customers surveyed in there is a determined focus to achieve our annual tracking survey thought our bills were value for money five-out-of-five and a commitment that ensures every customer counts. 38% reduction in customer complaints compared to prior year and 66% reduction over a two year period 36% reduction in number of cases referred to our complaints review team

On average our customers scored us 4.4/5.0 for the appearance of their water 3.4/5.0 for our level of leakage 4.2/5.0 for the frequency of water use restrictions of which there were none in the year 12 4.2/5.0 13 for the direct interaction that they experienced South East Water Performance, People and Planet 2015 - 2016 Our people... Our customers

95% of employees think South East Water puts customers first We are passionate about delivering a five-out-of five service

Fact File 25,837 home visits made by Our customer care field team 4,600 customers moved onto customers our social tariff 2,500 customers on our WaterSure tariff Outcome How have we performed?

Customer Customers consider… Business Final 2015-16 Actual satisfaction Plan Baseline Determination 2013 Target 2015-16

South East Water is the first water Appearance of their water to be 4.6 4.6 4.4 Mark – Customer Care Field Team Manager company to develop a range of acceptable Sometimes face-to-face help makes all the difference. Mark and his team are specially outcomes which are based on Taste and odour of their water to 4.3 4.3 4.1 customer satisfaction. Traditionally trained to help find the best option for our be acceptable customers individual needs water companies have focused on output based measures, for example Level of leakage to be acceptable 3.6 4.0 3.4 the number of customer complaints, Their direct interaction 4.5 4.5 4.2 rather than focusing on how satisfied experience to be positive customers are and how they feel Focus on... about the service they receive from Their water supply is of sufficient 4.5 4.5 4.2 their water company. Unlike historic pressure A helping hand when you need it This includes receiving priority help The customer care team will talk measures we also wanted to focus if a problem on our network means anyone finding difficulty in paying The frequency and duration of 4.7 4.7 4.6 We know all our customers want to on all customers, not just those who interrupting the water supply and for their water through the range of supply interruptions is acceptable be able to easily access our services, contact us and therefore giving the receiving important information in payment options as well as special including those who are deaf, blind, silent majority a voice. The frequency of water use 4.1 4.1 4.2 a more convenient format, such as tariffs and support on offer. We have partially sighted, disabled, those restrictions to be acceptable large print or the spoken word, where developed a social tariff which caps a Each month approximately 100 suffering from a long term sickness or our normal presentation style is not water bill at our fixed amount for the customers are randomly selected illness, and the elderly. to undertake a telephone survey to suitable. year and those on a low income We aim to empower and inform both How we achieve this is to offer a or who are in receipt of specific understand how satisfied they are with Customers can register their own our customers and our people to service tailored to the needs of the benefits may be eligible and are seven aspects of our service: password which we can use when support this effort which has led to a individual via our customer care team. encouraged to apply. • Appearance of their water commitment to delivering a five-out- calling on them at home and we can • Taste and odour of-five service across the business. This specially trained team sits at the also provide an interpretation service Mark, said: “During the year 4,600 • Leakage Increased investment in the training heart of our operations and is dedicated if English is not their first language. people have been moved to this to making our customers’ lives easier, tariff after we’ve talked to them • Direct interaction and development of our frontline We have formed strong alliances with particularly those customers with to find the right support for their • Water pressure teams and working throughout Citizens’ Advice across our operational additional needs such as health or individual needs. • Supply interruptions the year with our customer panel, area and we work closely with them so mobility issues or those who have listening to customers and improving that they are able to assist any of our “We are determined to be as • Water restrictions difficulty paying their water bills. our internal processes has led to customers who may want impartial flexible as possible to help Customers are asked to give a score significant improvements in customer Our "service plus" offer allows help or advice on any aspect of their everyone in need.” out of five where one is ‘completely service across the business. „ customers to register with us and relationship with us including paying dissatisfied’ and five is ‘completely then choose from a wide range of their water bills or seeking help or satisfied’. options tailored to their personal financial assistance in doing so. circumstances. 14 15 South East Water Performance, People and Planet 2015 - 2016 Our people... Our customers

Our annual tracker survey is a tool to help us understand customers’ priorities We received over 6,000 responses in 2015

The introduction of customer satisfaction outcomes has Outcome revolutionised the way in which we Customers consider bills to be approach customer engagement and value for money and affordable our interaction with our customers. Aaron – Customer Service Advisor These measures have achieved the Our local customer service centre has 118 objective of ensuring that we review Customer satisfaction with value for friendly advisors ready to help. Aaron and the all of our interactions, processes and money is measured through our annual team are available on the phone, live chat and social media the behaviour of our employees. tracker survey. During the year we undertook a review Our annual tracker survey is a tool of our brand and how it can impact to help us understand customers’ on our customer satisfaction. The priorities and how they might change overwhelming response was that over time. Focus on... customers would like to understand The survey was conducted during more about what we do and this will in Talking more, listening better September 2015 and received turn improve the perception of value responses from over 6,000 customers. for money and customer satisfaction. We know the importance of excellent Our aim is to make our written Aaron, said: “One of my highlights An online version of the survey was Our brand project rollout includes customer communications and the communications clear and concise and from the year was during Water also put on the home page of our introducing the brand concept on our need to embrace the wide range of we can arrange to provide large type Saving Week. We used social media website. vans, uniforms and literature. communications channels that our letters and bills for anyone partially to encourage our followers to help us customers wish to use. sighted. share messages about water efficiency We have worked on a number of How have we performed? and we held a water butt giveaway. initiatives during the year but How we achieve this is by working We recognise the importance of social recognise that we still have a lot Our target is to achieve greater as a cohesive team that not only media and we have set up a social “It was so popular a report from more that we need to achieve. than 80% by 2019-20. In our survey understands the importance of the media team to monitor and respond Waterwise after the national event We are committed to these new undertaken in September 2015, the spoken and written word but also to customer communications on said our competition was one of the innovative measures and increasing score for “Customers consider bills to recognises the instantaneous nature Facebook and Twitter and we have top tweets reaching 1.8 million our satisfaction scores. Leakage is be value for money and affordable” of modern communications and the a comprehensive website that is people – we are keen to find a particular challenge but we are was 71%. This compares to 72% in need to invest in digital technology. dedicated to providing instant advice more ways like this to share our 2014-15. „ and information on every aspect of knowledge about water with working to increase the knowledge of We have a customer service contact the service we offer. We have recently customers.” our customers to understand what we centre that responds quickly to launched our new MyAccount function do in this area. customer telephone calls and written where customers can view, download enquiries. Together with a team of or print their bills. They can also make engineering, operations, environmental payments, tell us they are moving and finance experts they are always home, check their balance, and set up on hand to provide the answers to or amend a Direct Debit. customer questions and queries.

16 17 South East Water Performance, People and Planet 2015 - 2016 Our people... Our customers

We know our 2.1 million customers expect the best from us

Fact File 2,415 written complaints compared to 3,474 in 2014-15 67.4% of customers scored us five-out-of-five when asked how satisfied they are with how we Laura – Channel Manager handled their query Looking for ways to inspire her team, Laura came up with a reward scheme for employees to gain 163 complaints referred to Outcome badges for delivering a five-out-of-five service our complaints review team compared to 255 in 2014-15 Service Incentive Mechanism

The service incentive mechanism How have we performed? Focus on... (SIM) is a water industry customer Our business plan target is to achieve satisfaction measure designed to Always striving for five-out-of-five greater than 80 out of 100 by 2019-20. encourage companies to provide a In 2015-16, we achieved 82.0. We know our 2.1 million customers We are passionate about delivering “We do get a real buzz when we hear better service to their customers. expect the very best from us and a five-out-of-five service for all our a customer give great feedback and The measure is split into two parts: We know we have further work to do we are committed to achieving the customers and our work has been seeing our efforts begin to make a to reach our target of being in the top • Qualitative - 75 per cent of the score highest standards of customer service. recognised as award winning by the difference spurs us on.” five companies and during 2016/17 we is derived from customer satisfaction rest of the water industry in the 2016 will be continuing with improving our How we do this is by supplying high surveys on a scale of one to five. This Water Industry Achievement Awards. processes to help us to achieve this. quality drinking water round the is a random survey of 100 customers We care about this so much we’ve clock, helping to conserve water every three months (in addition to the The level of written complaints started a regular survey that asks our resources, finding and preventing surveys that we commission directly) received from our customers has customers to rate us on a number of leaks, protecting the environment and who have contacted us with billing reduced again this year with a 38 per measures, from the taste and smell of guaranteeing standards of service. We enquiries and 100 every three months cent improvement compared to the their water, through to whether we undertake regular surveys to monitor who have had technical/operational prior year and a 66 per cent reduction are doing enough to deal with leaks. our own performance. enquiries. over a two year period. During the Laura said: “Each month we review year we have continued our focus on We work hard to achieve the highest • Quantitative - The remaining 25 the results and these are helping us improving our customer service on possible satisfaction score and meet per cent is based on the number of highlight where we are delivering every contact we receive with our regularly with the Consumer Council unwanted telephone contacts we great service, so we can thank the teams striving to give a five-out-of- for Water (CCWater), which represents receive, written complaints, 2nd level teams involved and share learning five experience every time a customer customers’ interests, to see what written complaints and CCWater with others, and where things have contacts us. further improvements can be made. investigations. A wanted call includes gone wrong the results are helping change of address or paying a bill, us think about ways we can make whereas an unwanted call is reporting improvements. an issue. 18 19 South East Water Performance, People and Planet 2015 - 2016 Our people... Our customers

The customer panel sees real evidence that South East Water is upping its game and this is very welcome Angela Dacombe Richard Lavender AgeUK representative Director, Kent Invicta Chamber of Commerce

Caroline Farquhar Adrienne Margolis Household customer Household customer representative representative

Roger Darlington Karen Gibbs Veronica McGannon Chair of the customer panel Consumer Council for Water Household customer (CCW) representative representative Customer panel

Following the last Ofwat price review, Roger says: “South East Water is to be So far, we have had ‘deep dives’ on our customer challenge group was commended for being one of the first water quality, environmental issues, converted into a customer panel companies to appoint its customer and leakage. Future ‘deep dives’ which comprises of an independent challenge group chair through an open will look at interruptions, customer chair, customers, plus representatives process, a practice now followed by all interactions, and water resources.” of the Consumer Council for Water, companies”. Roger Darlington regularly meets with Janet Hill Ben Roome Environment Agency, councils and The main aim of the customer panel is other water companies’ customer Community representative Household customer charities. representative to monitor our performance against panel or challenge group chairs to The customer challenge group was our outcomes during 2015 to 2020 exchange experiences. chaired by Roger Darlington who and to provide challenge on our other Further information about the role was selected in an open recruitment business-as-usual activities. of the customer panel and their process as a longstanding consumer Roger continued: “In order that panel comments on 2015-16 can be found advocate who was totally independent members gradually learn more and in the “our approach” section of “our of our company. Following the more about the water sector and performance” on page 47. completion of 2014 price review, he that South East Water is challenged agreed to continue chairing the new in more detail on key aspects of its customer panel for a couple of years performance, at our meetings we David Howarth Penny Shepherd MBE and then to step down so we can Environment Agency Consumer Council for Water have had a series of what we call ‘deep recruit a new chair for the 2019 price (CCW) representative dives’ where we ask the company for a southeastwater.co.uk/customerpanel review process. detailed paper and we devote a special period of time to discussing it.

20 21 South East Water Performance, People and Planet 2015 - 2016 Our people... Our community 53 Our people... properties are at risk of low pressure across our supply area Our 74 school talks undertaken in the year to community 2,479 children

99.96% water quality (Mean Zonal Compliance) Our approach

For the community we serve the work Our communities also benefit from the we do behind the scenes makes a huge provision of educational, recreational impact on the service they receive. and amenity opportunities that come from being able to access our The drinking water we provide is land, or from the contributions we fundamental to the health and quality make through donations, organised of life of the population in our supply charitable events and the support areas. of our employees in their voluntary We feed our community with a activities. network of complex assets; we work We are committed to encouraging to ensure that this infrastructure recreational access to our land and delivers a reliable service to the reservoirs as a valuable contribution homes and businesses in our area. to local communities. Facilities offered This investment is targeted to ensure including walking, fishing, horse riding, that we continue to reduce levels of mountain biking, nature study, bird low pressure and average lost time per watching, angling and sailing. property. Our intention is to be a good We continue to invest in our neighbour and take account of infrastructure network so that we the views of our customers and can provide our customers with high the community in which we work, quality water. In this, the first year minimising our social and economic of the five year investment period, impacts particularly when delivering we delivered £89.2 million of capital our capital programme. investment. During the year we invested in both new and existing We are pleased that 97% of our media assets, this includes continued coverage on capital investment investment in installing a new 7km schemes has been positive or neutral. „ pipeline, which now runs between Leybourne Lakes Country Park and the water treatment works at Burham, Kent and laying a 5.5km strategic water main in Swinley Forest through to Birch Hill in Berkshire, bringing the total investment in these two projects to £9.8 million and £5.9 million respectively. Schemes such as these are supporting our efforts to improve services for our customers and help safeguard the environment, and we are committed to continue this level 17% of investment. 97% reduction in the number of customers who positive or neutral media coverage contacted us regarding discolouration 32.1 Customers experienced on average 129 volunteers worked with us on 32.1 minutes of interruptions to conservation work their supply in the year

22 23 South East Water Performance, PeoplePerformance, and Planet People 2015 and - 2016 Planet Our 2015 people... - 2016 Our Our community approach

We know that developing relationships with the communities we serve is important We learn from each other for mutual benefit

Our community

Outcome Outcome Fact File Low Interruptions to 74 school talks to 2,479 children pressure customers’ water supply 151 people tour our treatment works

community talks This outcome is the number of When a customer is without water On the 10th May 2015 an 18 inch 11 properties at risk of low pressure. it is classified as an interruption to diameter underground pipe installed Lauren – IT Support Analyst 9 community events Water pressure determines the flow supply. Our outcome relates to all over 40 years ago burst on the Through our Community Chest fund we love supporting of water from the tap. If pressure is interruption to supply over three A22 near Hailsham, East Sussex. organisations like Communigrow in Ditton, Kent. Lauren and 129 volunteers working with us 20 colleagues helped lend a hand on harvest day not sufficient then the flow can reduce hours in duration. This can be as a Unfortunately the incident ran for 45 to a trickle and it will take a long time result of planned improvement works, hours and affected 33,900 properties to fill a kettle or a cistern. Our target emergency incidents such as a burst for varying durations. This contributed is 60 properties or less at risk of low water main or third party damage to 23 minutes to our average minutes lost pressure. the network. per connected property. We wrote to all customers impacted to apologise Our target for 2015-16 was for each Focus on... How have we performed? and provided a credit to their accounts property served to be interrupted by as a goodwill gesture in recognition Opening eyes to water In 2015-16, we have 53 properties that on average, less than 12.7 minutes of the inconvenience caused. We are at risk of low pressure which gives per year. The target for this outcome We know that developing relationships We are proud supporters of the Lauren said: “We really enjoy helping undertook a detailed lessons learned us a small reward. was set using industry data and for all with the communities we serve is charity WaterAid, which aims to people learn more about water and exercise following the event, which companies to achieve upper quartile important as we learn from each other transform the lives of the poorest how we supply it. Getting involved We have continued to invest in has led to us undertaking a strategic performance. for mutual benefit. and most marginalised people in the in community activity means we can schemes which will reduce the number valve programme and improving our world by improving access to safe chat to customers about the work we of properties at risk. While we are emergency plans. Thankfully incidents How we do this is through a wide How have we performed? water, sanitation and hygiene. There do and learn about what they need reducing the number of properties like this one are rare. range of customer engagement is company-wide participation in from us as their company. Our open on the register, we continue to try to We have worked hard to keep initiatives and through the creation The result of this burst means that in fundraising events and we give the days are really popular as we take identify other properties that may interruptions to supply to a minimum of relationships with key third party 2015-16 we have 32.1 minutes average charity further support by including groups on a free tour of our treatment become at risk of poor water pressure through our “every minute counts” organisations and community groups. time lost per property. Excluding the its brochure in our bill mailings to help works in Kent, Sussex and Berkshire, as demands change to ensure the campaign. We have continued to Hailsham burst, which is probably Our community chest fund gives reduce its mailing costs. it provides an insight into how figure remains below 60 in the future. focus on minimising interruptions to the biggest incident South East charities and community groups in our water is treated and people always supply for our customers, on both We’ve spoken to hundreds of people In 2016-17, we will undertake a scheme Water has ever had, our underlying supply area the chance to apply for a go away saying how amazed they our planned engineering works and in thanks to our volunteer speakers near Froxfield in Hampshire which performance equates to 9.1 share of the £30,000 we set aside each are at what happens behind the response to unplanned events such as who visit schools, community groups should prevent 23 properties from minutes per connected property. year with employees deciding which scenes.” burst mains. such as Scouts, Women’s Institute being at risk of low pressure. We causes should receive a donation. With this event included we have and Rotary Clubs to help inform and continue to look for the most cost The engineering team has been exceed our maximum limit and In the past year we have supported empower our customers by passing on effective schemes to invest in while working hard to ensure that in therefore will receive the full a wide range of schools, charities, their knowledge about water and our also monitoring the effect that new particular we minimise interruptions penalty amount for the year trusts and community groups in business. properties or businesses in an area can over three hours. We only had eight of £900,000. „ Kent, Sussex, Surrey, Berkshire and have on water pressure. interruptions during planned work on Hampshire and the money we have our network, which was an average of donated has been used for all manner 24 0.1 minutes per property. of good causes. 25 South East Water Performance, People and Planet 2015 - 2016 Our people... Our community

“The launch of our pioneering partnership is already demonstrating that by working together, not only will the water quality and biodiversity of the river benefit, but farmers and land managers can improve the performance of their business and save money. To quote the project strap-line ‘Protecting water and efficient farming go hand in hand’” James Seymour Area Manager, Natural England Fact File 9 farm workshop events 1,736 farm holdings engaged 9 farm staff pesticide trained 6 slug pellet calibration tests 2.3 tonnes of metaldehyde slug pellets substituted

Bob Felton – Twyford Farm We are working with farmers to improve water quality right from the source. By reducing the amount of Outcome Outcome sediment and pesticides in rivers we can support the environment and Water main Mean zonal reduce carbon costs of water treatment bursts compliance

Our target is fewer than 2,429 bursts The overall mean zonal compliance The wide range of activities we do in 2015-16. is a measure of the water quality at every day to ensure our mean zonal Focus on... customers’ taps against both the compliance targets are achieved How have we performed? European directive and national includes: Water partnership grows success parameters in Schedule 1 of the Water • Ongoing management and review of We have had 2,307 water main bursts Supply (Water Quality) Regulations. We know that each customer group Land management is a key factor in Another project through the in 2015-16. This compares with 2,372 water treatment works has different priorities, so targeted the quality of river water taken out partnership is using recycled water main bursts in 2014-15. Our target is to have 100 per cent • Alarms linked to our 24/7 control room. community engagement can deliver for drinking water. By working with motorway crash barriers that are now mean zonal compliance. Mean If readings are outside of the agreed great results. farmers we can improve the quality helping keep the River Ouse cleaner – We currently have approximately zonal compliance is measured as a parameters the water treatment works of this water and help with farm and tap water running crystal clear. 9,000 miles of water mains. percentage based on samples taken. How we are working with our farming will close down efficiency at the same time. The reporting year for this measure is communities is a good example of this Bob Felton, Twyford Farm, said: “The We undertake a wide range of • Drinking water safety plan which January to December. in action. Among the projects we have barriers have been sunk into concrete activities to minimise the number of involves a risk assessment of all sources undertaken is one aimed at keeping gullies at intervals on a steep slope burst mains and have extended this as The Water and Farming Partnership How have we performed? In February we opened our new state- pesticides on the fields and out of the to trap soil and waste carried by a result of the review which followed Project, brings us together with the of-the-art laboratory in Farnborough, watercourse. rainwater before it washes in to one the Hailsham burst main. When In 2015 we achieved 99.96 per cent. Government’s environmental advisory Hampshire. The new laboratory, which of the river’s tributaries below. bursts do occur we are increasingly Our target is always 100 per cent and body Natural England and farmers Any person spreading slug pellets via operates 24 hours a day, 365 days a Catching this waste means the carrying out the repair work without we would always want to be above whose land is near the River Ouse in a mounted or trailed applicator must year, is able to test 500,000 water water taken from the Ouse needs interrupting the supply to minimise 99.95 per cent. We have incurred no East Sussex. hold a special qualification and farm samples each year, ensuring that the fewer processes at the water the impact on customers. The activity penalty in this financial year. staff, who attended training sessions water we provide to our customers We offer farmers and landowners treatment works to be cleaned includes managing pressure as well as funded by us, were able to visit farms continues to be top quality. The practical and financial help to carry before it is safe for drinking. a highly targeted mains replacement in Selmeston and Barcombe to gain establishment of this new laboratory out small projects which can have policy. practical experience. They were “The water is protected, but has been an important milestone for a huge impact on water quality by taught about the safe handling and so is my soil, it is a win-win for the business. „ stopping artificial fertiliser, pesticides correct application of slug pellets in everyone.” and soil washing from fields into the order to keep the pesticide on the river in the first place. field and out of the watercourse. 26 27 South East Water Performance, People and Planet 2015 - 2016 Our people... Our community

We develop strong partnerships with experts from outside our business

Outcome Outcome Outcome Fact File Discolouration Above ground Number of sites Buglife – re-introduction of wart contacts asset performance at risk of flooding biter crickets at Deep Dean SSSI British Geological Society – This outcome measures the number The above ground asset performance The number of company sites at risk of research into oxadixyl presence of customers who contact South assessment comprises of four flooding is defined in our business plan in groundwater at Pembury East Water to report that they have indicators of asset health, for further based on a 1 in 200 year Environment University of Brighton – discoloured water and represents this definition of these please see page 53; Agency forecast of flooding. projects on the River Ouse and number on a per 1,000 population • Water treatment works coliforms non- As part of the 2014 price review, we Ardingly Reservoir basis. Our target is 0.97. compliance - the number of treatment undertook an in-depth analysis of all University of Reading (via When a customer contacts South works where the samples taken of our sites which the Environment ADAS) – pesticide joint study East Water we record the telephone contained coliforms (a form of bacteria) Agency predict are at risk of flooding with 7 water companies and call/email/letter in our systems once every 200 years. We identified • Service reservoir coliforms non- sediment studies and allocate a cause to it. The total compliance - The number of service the work required to remove this number of contacts that we receive is reservoirs where more than five per risk of flooding. There were 55 sites University of Kent – 2 water Waqas Dastagir – Optimisation Analyst divided by our total population. cent of the samples taken exceeded the identified in this review process and We work closely with universities in our quality projects and study maximum concentration required for the target for 2019-20 is to have zero area to support new talent. Following the on customer water How have we performed? coliform bacteria as a percentage of the sites. completion of a project with us Waqas consumption habits number of service reservoirs tested for took up a job in our regulation and In 2015-16 we have achieved 0.98. strategy team microbiological parameters How have we performed? Although we are slightly above our • Turbidity - is the cloudiness or haziness discolouration contacts for 2015 we caused by large numbers of particles We measure this by completing the are pleased that we have reduced our that are generally invisible to the works agreed and submitted as part of discolouration target we are within naked eye our business plan. an acceptable tolerance. For 2015 • Enforcement incidents - incidents In 2015-16 we have undertaken Focus on... we are pleased that we have reduced which have triggered a formal detailed assessments of the sites contacts by 17 per cent compared to Tapping into a local talent pool enforcement action against the classified as high risk. We have a plan the prior year. company on above ground assets for the next four years to undertake We know that there are experts Waqas Dastagir is now employed as an Waqas said: “The dissertation I was outside our business who can bring Optimisation Analyst in our regulation writing at the time for South East We have a discolouration strategy in This measure is calculated on a January the works required. new skills and insights to our work and and strategy function. He was Water gave me a good platform for place in order to help us to achieve our to December year basis. target, the key actions are as follows: developing strong partnerships with previously a student at the University my interview and gave me important them is important. of Kent completing an undergraduate information regarding the aims and How have we performed? • Targeted mains renewals and treatment course in mathematics with statistics objectives of the company. process work How we do this through finding All of the four components are within and a postgraduate masters in relevant third parties and forming “After the interview, I got an offer for • We have increased our mains flushing agreed limits and we are therefore management science. partnerships with them in areas we are the position. Being from Maidstone programme to 500 miles per year deemed as stable in 2015-16. We have an interested in. The university offers top performing it was great to find a job so close to • We have purchased specifically designed ongoing monitoring and audit process students the opportunity to work with where I live and one that uses the valves and trained our operations to ensure that we are complying with Over the years we have developed local businesses in solving real life skills I have trained for. I started technicians accordingly. These valves are our commitments. We review the water strong links with the University of problems and Waqas was offered the working for South East Water designed to reduce the risk of a mains quality sampling data on a monthly basis Kent and the University of Brighton. opportunity to undertake a project approximately two weeks after burst and minimise sudden pressure and report our assessment to our board. We regularly fund specific research with us. He was assigned a project to I submitted my research to the into the system which can increase projects or provide a mentoring • Water treatment work coliforms non- analyse and quantify the relationship company.” discolouration service in return for the work compliance – our target is 0.08%. In between investment and the undertaken. 2015-16 we have achieved 0.03%. improvement in asset performance by • Service reservoir coliforms non- The University of Brighton work creating a model which would allow compliance – our target is 0.84%. In closely with our environmental team us to calculate the required amount 2015-16 we have achieved 0%. which has the benefit of providing of investment given a certain service • Turbidity - our target is 11. In 2015-16 we us with cutting edge scientific and measure. He did such a great job we have achieved 0. statistical research. offered him a role at the end as an 28 29 • Enforcement incidents - our target is 1. Optimisation Analyst. In 2015-16 we have achieved 0. South East Water Zero Performance, People and Planet 2015 - 2016 Our people... Our behaviour Health and safety legislation breaches Our people... 14.19% Our staff turnover - 2014-15 13.72% Silver behaviour Gained silver Investors in People Award

9,815 hours of training courses Our approach

Our vision “to be the water company It is thanks to the passion of the people at South people want to be supplied by and East Water that the company has been recognised want to work for” is reflective of how with a number of awards during the year. We were we behave. We aim to ensure that delighted to be awarded with the silver accreditation our employees are fairly treated, by Investors in People. This is a great achievement highly motivated and well regarded. for the business and puts us in the top seven per cent We aim to provide rewarding jobs of businesses who are accredited through the scheme by improving skills through training and underpins our commitment to our people. and development. We aim to be a good neighbour and take account We received the Institute of Water innovation award of the views of our stakeholders, for our work using eDNA to identify endangered minimising our local social and species ahead of engineering works, while our economic impacts, developing customer care team was named Credit Today’s strategies to benefit all those with utilities and telecoms water team of the year. We an interest in our business. are delighted to have won two awards at the water industry achievement awards 2016. The “perfecting Health and safety is a priority at performance” programme won people initiative of the South East Water and we again ran year and our company-wide focus on achieving customer our “wellbeing week” programme, this satisfaction, always aiming for five-out-of-five, won year focussed on mental health, along customer satisfaction initiative of the year. with year round safety awareness messaging and governance through Zero our health and safety committee. National security obligations breaches We are committed to observing high standards of corporate governance and ensure that we maintain high 89% ethical standards throughout our of employees would recommend us as business. Our code of practice sets a good place to work out how we undertake procurement in an appropriate and fair manner. Only through the ethical conduct of our Award won business can we sustain a relationship Institute of Water’s national innovation award of trust with the communities with for our pioneering work involving eDNA whom we interface. The security of South East Water’s resources and water treatment is of the upmost importance. We work closely with the Government and security services to ensure measures are in place to secure a safe drinking water supply to customers round the Awards won clock. water industry achievement awards, people initiative of the year and customer satisfaction initiative of the year Zero breaches in statutory obligations and licence conditions

30 87% 31 participation in our employee survey South East Water Performance, People and Planet 2015 - 2016 Our people... Our behaviour

89 per cent of employees would recommend us as a good place to work We are lucky to work with people who have passion for our vision and values

Our behaviour

Katie, Amelia and Claire – Learning and development Outcome Outcome Outcome Our learning and development team have created a leadership We are compliant We are compliant We are compliant development programme to support with health and with national with other statutory the growth of our future leaders safety regulations security obligations obligations and licence conditions Our outcome is to be compliant with Our outcome is to be compliant with Focus on... health and safety regulations and have the number of compliance breaches of Our outcome is that we will have zero breaches. the security and emergency measures no breaches of other statutory Investor in People directive. Our target is zero breaches. obligations and licence conditions. We know we are lucky to work with of training they receive and career Katie, our learning and development How have we performed? Breaches are defined as the number of How have we performed? people who have a passion for our progression they are offered. manager said: “All that we have achieved We continue to run initiatives which prosecutions and enforcement actions vision and values. We firmly believe We now join the top seven per cent in the last 12 months would not have focus on health and safety. Risk In this year we have had zero during the year. Our target is zero that engaged employees go the extra of accredited organisations in the UK been possible without the dedication assessments are a fundamental part compliance breaches of the security breaches. mile to deliver a great service. which believe in realising the potential and commitment to our vision and values of how we work and employees are and emergency measures directive. of the people who work for South East How have we performed? How we keep our employees engaged of their employees. Our next target is encouraged to take time to assess The directive specifies a level of is by embracing the Investors in People to achieve the gold award, which would Water – both our employees and any risks at all times. Our “Take 20” security required at each type of We have had no prosecutions or ethos of continuous improvement and move us into the top two per cent. partners and businesses we work with. messages encourages everyone to site. We are on target to deliver enforcement actions during measuring performance against our Developments in our journey so far “We have recently undertaken an take an additional 20 seconds to think all work required on time and to the year. „ corporate objectives. employee survey and were delighted before undertaking any task to ensure budget. We are required to produce include improved training opportunities, This framework enables us to channel better internal communications and to have achieved 87 per cent there is no risk or we have plans in a statement of compliance stating all resources more effectively and harness ensuring all employees and contractors participation which is significantly place to minimise risks. work committed to and a sample is the talent of our people towards receive the living wage - the sum above above the UK wide benchmark. audited which confirmed that we have We are so committed to safety that achieving our company goals. the minimum wage. “It is important that we continue achieved our agreed works. we wanted our employees to feel Three years on from achieving the “Learning central” is the company’s to motivate and develop our empowered to be able to halt any bronze Investors in People accreditation, central video-based training resource employees through supporting unsafe working. This year we delivered we have now gone one better, securing and all staff are encouraged to use it their growth and development a “stop the unsafe work” card to every the prestigious silver award. to fulfil their training and development our leadership development employee. needs. programme and we are Our progression follows a tough, proud that our “perfecting We have had zero breaches during independent assessment based on We have an internal awards ceremony, performance” training for 2015-16. feedback from 140 employees about STARS, our staff and team achievement aspiring managers recently company culture and leadership, how recognition scheme. won a water industry 32 appreciated they feel, the standard achievement award.” 33 South East Water Performance, People and Planet 2015 - 2016 Our people... Our behaviour

Customers were most impressed when we showed them what goes into supplying quality water

Fact File 14 apprentices in South East Water 5 apprentices recruited in 2015-16 4 apprentices being recruited Back to the classroom in 2016-17 The first six months our apprentices gain a general overview of South East Water before 100% of apprentices have specialising in one area of water supply become full time employees

Focus on...

The apprentice – you’re hired! Developing our brand We know that apprenticeships are In addition, we often recruit Finlay, apprentice technician said: We’ve been carrying out research All businesses have a brand even if Customers were most impressed a valuable way of developing new apprentices in other areas of the “The water industry is unique and one to understand how customers and they do not have a logo or a creative when we showed them exactly what talent by working alongside our more business including our IT, customer I was always interested in starting employees feel about South East Water. image. A brand is created by your is behind supplying quality water. experienced water workers who enjoy services and human resources in. Since I began working here I have It became clear customers didn’t know actions which triggers feelings about That knowledge improved their view passing on their knowledge. departments. found it very exciting and no two days much about us, and some employees your company and has an emotional of us and they were reassured by the are the same. felt we weren’t celebrating their work impact on your customer and expertise behind the scenes. We see How we recruit them is via schools, During the first six months of the as much as they would like. As our employees. this in practice during our popular colleges, job fairs and other careers programme, operations apprentices “During my apprenticeship I worked vision is to be the company people want open days and our brand is intended events and through publicity on our gain an overview of the whole at various water treatment sites, Ultimately this emotional impact to be supplied by and want to work for we to give a snapshot of what customers website. company which sees them work in carrying out site duties and determines whether someone know we need to improve both of these experience when they visit our sites. areas such as water distribution, maintaining them. It is a job I enjoy, wants to do business with you. It is We will be employing four new perceptions to achieve our goal. production process, electrical and and feel great knowing that my therefore important to project a This led to the creation of the apprentices in 2016 to add to our mechanical maintenance and leak opinion matters when discussing It was this realisation and the link consistent brand so your customers new strapline “Pure Knowh2ow” existing group of 12 apprentices control, before specialising in one improvements to the sites.” between brand perception and understand you and trust in the and the approach to focus our currently working on a two year area of water supply. satisfaction that led us to carry out a service you deliver, while attracting communications using images of our programme in the operations detailed review of our brand. and retaining talented people to employees at work and on providing department. work with you. Engagement with more information to customers. customers suggested they did not know what we did and showed that better understanding led to increased value for money perception and satisfaction.

34 35 South East Water Performance, People and Planet 2015 - 2016 Our planet

88.1 Our mega litres of water leakage per day planet compared to 92.5 in 2014-15 75% of households metered Our approach In dry weather, the demand for Underpinning our “every action Operating in such a protected and water from our customers increases counts” commitment – which makes constrained environment is not without significantly and so does our energy sure our operational performance its challenges but we have robust consumption - the two are intrinsically is safe, effective and efficient – is policies, procedures and programmes of linked as water is heavy and takes a lot an environmentally responsible work in place to deliver upon our “every of energy to move it. approach to our work. action counts” commitment. It makes good environmental sense That doesn’t just mean complying with This includes: to reduce both which is why we are environmental laws and regulations; committed to working with our • making sure we fulfil our obligations our employees are actively encouraged customers to promote simple water under environmental legislation, to become co-guardians of the savings tips and devices to reduce including the National Environment environment (a recent employee their demand for water and, therefore, and Rural Communities Act 2006 survey showed 97 per cent agreed our energy use too. (NERC) and the Wildlife and that South East Water cares about the Countryside Act 1981 Helping customers reduce their environment and the community). • having management plans in place for water consumption remains a crucial There are two things that drive much all company-owned SSSIs so that 95 cornerstone of our customer metering of our environmental ethos – the very per cent of them are in favourable or programme – it doesn’t just have the nature of our supply area in terms of recovering condition by 2020 potential to save water, but money environmental designations; and the off customers’ water bills too. By • carefully planning and designing our scarcity of naturally available water 2020 we aim to have 90 per cent of investment schemes to try and avoid that can be found within it. our household customers on a water and/or mitigate any impact of our work meter. Environmental designations • closely managing our contractors, 25 including environmental training and Finally, we know that driving down breaches of abstraction licences and Our supply area is unusually rich in compliance audits leakage is a top priority for our discharge consents biological diversity and protected customers – and so we are delighted landscapes: Scarcity of naturally-available water that our concerted efforts in this area have paid off with a significant • 44 per cent of our supply area lies The water that comes out of our reduction in leakage beyond our within a landscape designation Zero customers’ taps comes from rivers tough targets. pollution incidents in category 1 and 2 (national average 24 per cent) and underground aquifers. • 144 sites of special scientific Abstracting this water is an activity interest (SSSI) regulated by the Environment Agency 100% • 8 special areas of conservation (SAC) through special licences, but one of sludge waste recycled to land as • 21 special protection areas (SPA) which equally we closely monitor. a soil conditioner • 5 Ramsar sites as classified under We work hard to make sure that the convention on wetlands of our abstractions are not only within international importance licence, but are sustainable too. • 7 national nature reserves (NNR) Making sure there is enough water for our planet and people means The south east is also the most taking steps to protect what we have wooded area in England, with large now – we do this through our national swathes of it designated as ancient environment programme which woodland. This, and the warmer 95.3% you can read more about on page climate we experience, enables of company SSSIs in either favourable 43 – and planning at least 25 years many rare and protected habitats or recovering condition compared to ahead through our Water Resources and species to flourish, resulting target of 95% by 2020 Management Plan (see page 44). in a complex mosaic of ecological Zero constraints. deficit in our water resource zones

36 37 South East Water Performance, People and Planet 2015 - 2016 Our planet

97 per cent of employees believe that South East Water cares about the During the year we have environment and the community given out more than 36,000 water efficiency devices

Our planet

This has been achieved by significant How have we performed? This has been delivered with a Outcome improvements in our performance Outcome comprehensive customer and In 2015-16 we had a zero deficit. Leakage across our leakage programme, Meeting the stakeholder communication Fact File including investment in the latest Our engineering teams are on track programme that has resulted in an 75% of households metered level technology, increases in the number water deficit to deliver the supply and demand increased understanding of why of technicians, and a record number of investment schemes that we metering is needed and support for 95.3% of our SSSI sites in Leakage is the loss of water from the leaks detected by our teams. We are required to maintain the committed to in our Water Resources how the programme is being delivered. either favourable or recovering supply network. Our target in 2015- security of our water supplies and Management Plan. These plans go condition (2020 target 95%) Our ongoing investment in leak We work with schools and the 16 was 91.8 million litres per day ensure that we have sufficient water through many layers of screening detection and repair has enabled us community to encourage water 58% of our SSSI sites in (Ml/d). Total leakage figures include available to meet our customer’s and assessment to ensure that we to beat our leakage target for the efficiency as a means to reduce favourable condition the loss of water between our water needs both now and in the future. have chosen the most cost effective 14th year in a row and we continue customer demand for water which is (2020 target 50%) treatment works and the customers’ Our target is to have zero deficit. schemes which are also going to cause boundary, and the loss of water from to use new technology to drive the particularly important as we are in a The security of supply index measures minimal impact on the environment. customers’ pipes and in the homes. leakage levels down further. The water stressed area. installation this year of 1,540 logger how well we comply with this In parallel to delivering the current During the year we have given out Leakage is measured in megalitres devices has helped us find a total requirement. The index allows us to schemes we are also embarking on more than 36,000 water efficiency (1,000,000 litres) per day (Ml/d). of 5,415 leaks. This is an increase of assess all the water that is available in preparing our next five year Water devices. We also worked with 20 per cent on the previous year. our supply area and will also factor in Resources Management Plan. We are children’s author, Cath Hassell, to How have we performed? The past few months has seen an how much of that water is being lost already engaging with our customers through leakage. We then calculate promote her book “The mysterious The leakage target for the year was improvement in performance and with and community through our customer demand for water based case of the sinking flamingo”, 91.8 Ml/d. However, we are pleased to all the new processes in place 2016/17 environmental focus group to ensure on current customer use and what encouraging 5 – 9 year olds to use report that we have made significant will hopefully see further leakage that we have continuous feedback on we know is required in the future. We water wisely and we’ve talked to progress in delivering our five-year reductions. our proposals. deduct our security of supply index hundreds of pupils in schools across leakage strategy, and as a result we score from 100 to give us our deficit. The customer metering programme our region to help everyone value have been able to reduce leakage to continues to roll out successfully and water more. „ 88.1 Ml/d. we’ve seen demand for water reduce by 18 per cent in the homes that we have metered. By March 2016 249,000 water meters have been installed – either through the customer metering programme or for those customers who have opted to have a meter fitted.

38 39 South East Water Performance/People/Planet 2015 - 2016 Our planet

Sarah from Buglife The endangered wart-biter cricket has been reintroduced at Deep Dean in East Sussex where we own 63 hectares of land, carefully managed to improve the biodiversity and protect the water quality in the aquifers below

Outcome Target Green Amber Red Number of breaches Discharge consents less than 8 8-10 more than 10 of abstraction licences, Annual licences 0 1 2+ discharge consents Daily licences less than 20 20-30 less than 30 and environmental permits Discharge consents: We have had Daily abstraction licences: We have eight discharge consent breaches had 16 daily abstraction breaches Our outcome is to be compliant in 2015-16 which gives an amber during 2015-16 which would be with environmental regulations in classification in the traffic light classified as green in the traffic light relation to the number of breaches assessment. assessment. of abstraction licenses, discharge Annual abstraction licences: We have We undertake continuous monitoring consents and environmental permits. had one annual breach which was of our sites and policies to ensure Our target is to have zero breaches. minor and occurred in the final month that we are following good industry This outcome is measured by the of the year which gives us an amber practice. We have quarterly meetings results from Environment Agency classification. The breach occurred with the Environment Agency to routine site visits and audits of at Lamberhurst where we abstracted ensure that we have continual discharges consents as well as annual on average 1.6Ml/d instead of the dialogue and can discuss any potential Focus on... and daily abstraction data reported to agreed 1.5Ml/d. We have undertaken concerns. „ the Environment Agency. a review to ensure that this will not It’s a bug’s life happen again. We report 135 lines How have we performed? of returns data to the Environment Protection of the quality of our South East Water’s Deep Dean site Sarah from Buglife, said: “We were Agency, covering 85 abstraction or groundwater often means that the was identified as a suitable place for delighted when South East Water’s We have developed a traffic light augmentation licences and all others biological value of the site thrives the wart-biter to thrive because the environment team recognised the assessment for discharge consents, are fully compliant. too. This is the case at one of our sites land has been carefully managed for opportunity to restore the chalk daily and annual abstraction licences in Sussex which is a site of special more than 100 years to protect water grassland and encourage rare insects as follows: scientific interest and now home to a quality in the underground aquifer. and plants to flourish at Deep Dean. rare and endangered cricket. More than 20 years of proactive “We hope our partnership means How we did this was by forming a management has made sure the site the reintroduced wart-biter working group led by Natural England is suitable for the crickets. The fussy crickets will once again thrive and Buglife and now a rare species of creatures need a particular kind of at this special site.” cricket has been reintroduced into a habitat which includes bare ground, carefully-created habitat around Deep short turf and taller clumps of grass. Dean Water Treatment Works, in East Wart-biter numbers have declined as Sussex. a result of habitat destruction, loss The wart-biter cricket – which gets of suitable grassland and unsuitable its name from the ancient Swedish grazing regimes. They are considered medical practice of using them to eat to be endangered in the UK, and the skin warts – was once found across threat they could die out remains. southern England. But their numbers But thanks to an intensive captive have declined so dramatically, they are breeding programme by London Zoo now found only in five locations, three and partnerships with environmental 40 in Sussex. groups, landowners and farmers, the 41 cricket now has a brighter future. South East Water Performance, People and Planet 2015 - 2016 Our planet

Our eDNA testing method won the Institute of Water innovation award

Mandy – Environmental Delivery Manager New techniques are used to find the presence of newts ahead of any construction scheme

Focus on... Supporting biodiversity across Before any major water supply scheme Called eDNA, we take water samples National • 72 biodiversity reports by March 2017 • Eel regulations - our site at Bray has our region begins, specialist ecologists carry from ponds and test them for great • 10 pilot biodiversity plans by March 2018 been certified by the Environment out an environmental assessment to crested newt DNA. The amphibians are environmental Agency and is eel regulation compliant We know that as significant landowners •  six surface water catchment ensure the environment is protected a highly protected species and if they we have tremendous responsibility in programme investigations by March 2017 • Biodiversity reporting - 48 biodiversity at every stage of the construction are present can impact on pipe laying looking after 33 sites which are within reports completed programme. projects. • six surface water catchment pilot sites of special scientific interest The national environment programme projects by March 2020 • Pilot biodiversity plans - five delivered (SSSIs). We also have the national We operate in an area which is unusually Mandy said: “Previously our ecologists is a statutory programme developed • nine groundwater catchment • Surface water catchment management nature reserve Lullington Heath in East rich in biodiversity and protected had to visit all nearby ponds at least by the Environment Agency and management investigations by March investigations - all six investigations Sussex, two nature reserves, Arlington landscapes; for example 44 per cent four times over several months, Natural England. The programme 2020 commenced Reservoir and Ardingly Reservoir, and of our operational area lies within a working at night, checking for eggs, is driven, in the main, by various numerous areas of outstanding natural protected landscape (national park or setting bottle traps and searching European directives. • 10 restoring sustainable abstraction • Groundwater catchment management beauty in our supply area. area of outstanding natural beauty. for the newts under torchlight. investigations and options appraisals investigations - all nine investigations We are in the first year of our commenced How we support biodiversity is the Where there is an impact on the “The new method is approved by programme and over the next five How we performed • Restoring sustainable abstraction result of decades of careful and environment we will carry out our regulator Natural England years we must deliver: investigations/options appraisals - sensitive management of a wide variety restoration work, or create new and allows us to plan any newt In 2015-16 we commenced with • 10 MCERTS (Environment Agency’s all 10 studies commenced „ of fauna and flora flourishing on our habitats to encourage native species protection measures more the first year of the delivery of our monitoring certification scheme) sites and we often work in partnership back to the area affected. safely and efficiently before programme. Excellent progress was standard flow meters by March 2020 with organisations such as Natural pipe laying activities begin.” made in the year, the highlights One example that has helped us win England and wildlife trusts together • six eel regulation compliant include: a prestigious national award in 2016, with hundreds of volunteers who gave abstraction screens by March 2020 is the novel use of testing for the up their time to work on our sites. • one eel regulation compliant eel pass presence of newts using DNA found in by March 2020 water samples. 42 43 South East Water Performance, People and Planet 2015 - 2016 Our planet

Fact File Between 2015 – 2020 we are carrying out feasibility studies on the following long term schemes to ensure resilient future water supplies: • Aylesford water re-use, River Medway, Kent • A new storage reservoir at Broad Oak near Canterbury, Kent • Water re-use in the River Ouse in Sussex • An extension of the current Arlington Reservoir in Sussex

Outcome Outcome Outcome Molly – our tunnel boring machine Our Water Resources Management Plan Number of Kg of carbon We will monitor ensures we carry out the work required to ensure resilient supplies for the future. pollution incidents emissions per our abstraction Here at Burham in Kent we've used the latest tunnel boring techniques to install (category 1-2) customer per year at low flows at a new 7km pipeline to help transfer water Our outcome is to be compliant Our outcome is to reduce our impact environmentally around our network with environmental regulations and on the environment by lowering our sensitive sites our target is to have zero pollution carbon emissions per customer per incidents. year. This is calculated by total carbon New abstraction incentive mechanism Focus on... emissions divided by the total number (AIM) guidance has now been issued How have we performed? of people supplied. by Ofwat following a recommendation from a task force that we were Planning 25 years into the future to In 2015-16 we have had zero category Our target is to achieve 37.7kg CO2e secure supplies 1 and 2 pollution incidents which are per person by 2019-20. involved with. The guidance is the most serious classifications. effective from April 2016 so we will We know there is a growing demand How we do that is to plan 25 years Helen, Supply Demand Manager, said: How have we performed? report on this in detail next year. for water each year because of an ahead to ensure there are sufficient “Customers, who were consulted as We continue to monitor and report increase in housing, climate change, supplies to meet the daily needs of part of the process, overwhelmingly category 3 and 4 incidents to ensure Our performance for 2015-16 is more use of home appliances such as both existing and future customers. supported our proposals to reduce that we are performing to a high level 36.8kgCO2e per person beating power showers and washing machines, demand for and that our processes are working our target. In June 2014, with approval from the and the growth of gardening as a water, such as through our water successfully. We have ongoing Department for Environment, Food We are continually reviewing how we leisure activity. The average amount efficiency, on-going customer dialogue with the Environment Agency and Rural Affairs (Defra), we published can minimise our carbon emissions of water used in the south east is metering and leakage reduction and site visits to ensure that we are our Water Resources Management which includes assessing potential 160 litres per person per day and programmes. continually improving where we can. Plan, setting out what we will need to renewable options, an in-depth energy South East Water needs to meet do, where, and by when, to meet the “This also helped us choose the management review, our ongoing that demand without harming the future need for water from people, new sources of water that will help customer metering programme, environment. businesses and also the environment. meet the increasing demand.” and our capital maintenance plan, replacing older assets with newer more efficient pumps which will reduce our energy and carbon.

44 45 South East Water Performance, People and Planet 2015 - 2016 Our performance

Our performance

Our approach

Each quarter throughout 2015-16 we have provided our independent customer panel with a report on our outcome performance and discuss with them the plans that we have in place to meet our commitments. At the end of 2015-16 we provided the customer panel with an in-depth report which provided a summary of how the outcomes are measured, the targets, how we have performed and the initiatives that we have undertaken and the plans that are in progress. The customer panel has produced its own annual report for 2015-16 which can be found at southeastwater.co.uk/ customerpanelreport Quotes from Roger Darlington, chair of our customer panel: • “South East Water has been bold and innovative in adopting an outcome delivery incentive package with a set of customer perception measures, but it still needs to be bolder and more innovative in the development and implementation of initiatives that will make a meaningful and timely impact on those measures” • “The customer panel sees real evidence that South East Water is upping its game and this is very welcome”

46 47 South East Water Performance, People and Planet 2015 - 2016 Our performance

An outcome is the commitment we've made about how we do business Our outcomes for 2015-20 are based on what our customers It sets out what we are trying to told us they want achieve, rather than just what we'll do

Our performance

Our performance commitment table

Outcome Incentive type Target Performance Reward / £m Outcome Incentive type FD Target Performance Reward / £m penalty if (if applicable) penalty if (if applicable) applicable applicable

Customer satisfaction Reputational Not Number of pollution incidents Reputational 0 0 Not Appearance 4.6 4.4 applicable (Category 1-2) applicable Taste and odour 4.3 4.1 Leakage 4.0 3.4 Number of compliance breaches Reputational 0 0 Not Interaction 4.5 4.2 of legislation applicable Pressure 4.5 4.2 Number of breaches of National Reputational 0 0 Not Interruptions 4.7 4.6 Security obligations applicable Water restrictions 4.1 4.2 Number of compliance breaches Reputational 0 0 Not Leakage Reward/Penalty 91.8 88.1 Reward £0.900m of other statutory obligations and applicable licence conditions SIM score Reward/Penalty N/A 82.0 Not applicable Discolouration contacts Reward/Penalty 0.97 0.98 No penalty Customers consider bills to be Reputational N/A 71% Not Above ground asset performance Reward/Penalty Stable Stable Not value for money and affordable applicable applicable Number of properties at risk of Reward/Penalty 60 53 Reward £0.002m Number of sites at risk of flooding Reputational N/A 55 Not low pressure applicable Average interruption time lost per Reward/Penalty 12.7 32.05 Penalty -£0.932m Water mains bursts Penalty 2429 2307 No penalty property

Meeting the water resource Penalty 0 0 No penalty KG of carbon emissions per Reputational 37.7 36.8 Not deficit customer per year applicable

Mean zonal compliance Penalty 100 99.96 No penalty We will monitor our abstractions Reputational Commences Commences Not at low flows at environmentally in 2016-17 in 2016-17 applicable Number of breaches of Reputational 0 25 Not sensitive sites abstraction licences, discharge applicable consents and environmental 48 permits 49 South East Water Performance, People and Planet 2015 - 2016 Our performance

Outcome definitions

Customers consider the appearance Customers consider the level of Customers consider their direct Customers consider bills to be Properties at risk of low pressure Average time lost per property of their water to be acceptable leakage to be acceptable interaction experience to be value for money and affordable positive

Incentive type Incentive type Incentive type Incentive type Incentive type Incentive type Financial - reward & penalty. Financial - reward & penalty. Financial - reward & penalty. Reputational Financial - reward & penalty. Financial - reward & penalty. Outcome description Outcome description Outcome description Outcome description Outcome description Outcome description Customer satisfaction as measured Customer satisfaction as measured Customer satisfaction as measured Customer satisfaction as measured Number of properties at risk of low pressure, as Average time lost, in minutes, per through satisfaction tracking research, through satisfaction tracking research, through satisfaction tracking research, through satisfaction tracking research, recorded by the DG2 register. property served. as a score out of 5. as a score out of 5. as a score out of 5. as a percentage. How measured? How measured? How measured? How measured? How measured? How measured? Measured and reported annually. DG2 Number of customers interrupted, multiplied Monthly surveys undertaken by a third party Monthly surveys undertaken by a third party Monthly surveys undertaken by a third party Annual tracker survey inline with the baseline methodolgy for recording/calculating. by the number of minutes, divided by the total provider. Annual average calculated. Score provider. Annual average calculated. Score provider. Annual average calculated. Score method. Average of scores calculated. number of customers. rounded to 1 decimal place. rounded to 1 decimal place. rounded to 1 decimal place. How is our reward or How is our reward or How is our reward or How is our reward or How is our reward or penalty calculated? Incentive calculated annually, accrued to the penalty calculated? penalty calculated? penalty calculated? penalty calculated? end of the period and applied in the 2019 price Incentive calculated annually, accrued to the Reward and penalties applicable from 2016-17 Reward and penalties applicable from 2016-17 Reward and penalties applicable from 2016-17 setting process. Reward/penalty will be an end of the period and applied in the 2019 price onwards. Incentive calculated annually, accrued onwards. Incentive calculated annually, accrued onwards. Incentive calculated annually, accrued adjustment to revenue. setting process. Reward/penalty will be an to the end of the period and applied in the 2019 to the end of the period and applied in the 2019 to the end of the period and applied in the 2019 adjustment to revenue. price setting process. Reward/penalty will be an price setting process. Reward/penalty will be an price setting process. Reward/penalty will be an adjustment to revenue. adjustment to revenue. adjustment to revenue.

Customers consider the taste Leakage level Service Incentive Mechanism (SIM) Customers consider their water Customers consider the frequency Customers consider the frequency and odour of their water to be supply is of sufficient pressure and duration of supply of water use restrictions to be acceptable interruptions is acceptable acceptable

Incentive type Incentive type Incentive type Incentive type Incentive type Incentive type Financial - reward & penalty. Financial - reward & penalty. Financial - reward & penalty. Financial - reward & penalty. Financial - reward & penalty. Financial - reward & penalty. Outcome description Outcome description Outcome description Outcome description Outcome description Outcome description Customer satisfaction as measured Actual reported leakage per Ml/d per year. SIM is a mixture of surveys with customers who Customer satisfaction as measured Customer satisfaction as measured Customer satisfaction as measured through satisfaction tracking research, Calculation of leakage as defined for the Ofwat have made contact with the company and the through satisfaction tracking research, through satisfaction tracking research, through satisfaction tracking research, as a score out of 5. KPI in IN13/03 adjusted to reflect post MLE number of complaints we receive. as a score out of 5. as a score out of 5. as a score out of 5. (maximum-likelihood estimation) calculation How measured? How measured? How measured? How measured? How measured? Monthly surveys undertaken by a third party How measured? SIM score calculated using the methodology Monthly surveys undertaken by a third party Monthly surveys undertaken by a third party Monthly surveys undertaken by a third party provider. Annual average calculated. Score Performance commitment reported on post outlined in the performance measure definition. provider. Annual average calculated. Score provider. Annual average calculated. Score provider. Annual average calculated. Score rounded to 1 decimal place. maximum likelihood basis. Measured on an Measured on an annual basis. rounded to 1 decimal place. rounded to 1 decimal place. rounded to 1 decimal place. annual basis to 1 decimal place. How is our reward or How is our reward or How is our reward or How is our reward or How is our reward or penalty calculated? How is our reward or penalty calculated? penalty calculated? penalty calculated? penalty calculated? Reward and penalties applicable from 2016-17 penalty calculated? Under the existing mechanism for SIM, any Reward and penalties applicable from 2016-17 Reward and penalties applicable from 2016-17 Reward and penalties applicable from 2016-17 onwards. Incentive calculated annually, accrued Incentive calculated annually, accrued to the reward or penalty will be applied in the PR19 onwards. Incentive calculated annually, accrued onwards. Incentive calculated annually, accrued onwards. Incentive calculated annually, accrued to the end of the period and applied in the 2019 end of the period and applied in the 2019 price process and any reward or penalty will be an to the end of the period and applied in the 2019 to the end of the period and applied in the 2019 to the end of the period and applied in the 2019 price setting process. Reward/penalty will be an setting process. Reward/penalty will be an adjustment to revenue. price setting process. Reward/penalty will be an price setting process. Reward/penalty will be an price setting process. Reward/penalty will be an adjustment to revenue. adjustment to revenue. adjustment to revenue. adjustment to revenue. adjustment to revenue.

50 51 South East Water Performance, People and Planet 2015 - 2016 Our performance

Mean Zonal Compliance Number of breaches of abstraction National Security obligations – Discolouration Contacts Water mains bursts Above ground asset performance licences, discharge consents and number of breaches (per 1,000 population) environmental permits

Incentive type Incentive type Incentive type Incentive type Incentive type Incentive type Financial - penalty only Reputational Reputational Financial - reward & penalty Financial - reward & penalty. Financial - penalty only Outcome description Outcome description Outcome description Outcome description Outcome description Outcome description The mean zonal compliance percentage, based The number of breaches of abstraction licences, The number of compliance breaches of the Number of discolouration contacts (orange/ Number of burst mains. Serviceability assessment of above ground asset on current regulations and standards and as discharge consents and environmental permits Security and Emergency Measures Directive black/brown) per 1,000 population, as defined by performance. Assessed as stable or marginal. reported to the Drinking Water Inspectorate as measured by the reporting procedures to the (SEMD). Failure to deliver the required activities the below ground serviceability indicator. How measured? Above ground asset performance comprises of (DWI). Environment Agency. to meet Defra Advice Notes under SEMD. four serviceability indicators: How measured? Number of burst mains. How measured? How measured? How measured? • Water Treatment Works coliforms non- Measured to 2 decimal places. How is our reward or compliance - the number of treatment Mean zonal compliance is measured as a We have discussed and agreed with the Number of breaches as per the Security works where the samples taken contained percentage based on samples taken. Environment Agency using a traffic light system Services and Defra. These are identified as How is our reward or penalty calculated? coliforms (a form of bacteria) to give greater clarity to our customers should events where we would be required to notify penalty calculated? Incentive calculated annually, accrued to the • Service Reservoir coliforms non-compliance - How is our reward or we have any breaches. these authorities. Categories are as follows: end of the period and applied in the 2019 price The number of service reservoirs where more Incentive calculated annually, accrued to the setting process. Reward/penalty will be an • security breaches that causes us a than 5% of the samples taken exceeded penalty calculated? Abstraction licences: end of the period and applied in the 2019 price adjustment to RCV. major incident the maximum concentration required for Incentive calculated annually, accrued to the setting process. Reward/penalty will be an Annual licences: Green 0 coliform bacteria as a percentage of the end of the period and applied in the 2019 price Amber 1 • loss of supply for more than 24 hours adjustment to RCV. number of service reservoirs tested for setting process. Reward/penalty will be an due to a security event microbiological parameters adjustment to revenue. Red 2+ • any security event where contact with • Turbidity - is the cloudiness or haziness Daily licences: Green 20 external government body is necessary caused by large numbers of particles that Amber 20-30 are generally invisible to the naked eye Red 30+ • any other significant security event (e.g. a cyber attack) • Enforcement incidents - incidents which Discharge consents: Green <8 Number of sites at risk of flooding We will monitor our abstractions have triggered a formal enforcement action Amber 8-10 at low flows at environmentally against the company on above ground Red >10 sensitive sites assets. The targets shown on page 28 are the upper control limits described in the following Incentive type Incentive type section. Reputational Reputational How measured? Outcome description Outcome description Measurement based on serviceability indicators, reference levels and upper control limits. The number of company sites at risk of flooding Measure and commitment to be defined in as defined in the business plan. line with the abstraction incentive mechanism The following guidelines apply to this Outcome (AIM). to explain the assessment: How measured? • We have committed to performance levels Based on a 1 in 200 year EA forecast How measured? and must be within the reference band of flooding. As per AIM guidance with effect from on all four measures to receive a “Stable” 1st April 2016. classification, otherwise we are deemed as “marginal” • The penalty applies when marginal is reported for three consecutive years, and each consecutive year thereafter, until at least two consecutive stable years Meeting the Water Number of pollution incidents Other statutory obligations and Number of compliance breaches KG of carbon emissions • The first stable year following three Resource Deficit (Category 1-2) licence conditions – number of of health & safety legislation per customer per year or more consecutive marginal years breaches will attract a penalty of 50% of the total penalty • Only after two consecutive stable years Incentive type Incentive type Incentive type Incentive type Incentive type would the cumulative marginal assessment Financial - penalty only Reputational Reputational Reputational Reputational be re-set. • Reporting frequency to the Customer Panel Outcome description Outcome description Outcome description Outcome description Outcome description increases to quarterly when one indicator is above the upper limit for two consecutive Delivery of enhancements to supply, both supply The number of category 1 or 2 pollution The number of compliance breaches with our The number of breaches of health and safety Average kg of carbon emissions per customer. years or when two indicators are above the side and demand side measures, to ensure zero incidents as reported by the Environment statutory obligations and licence conditions, regulations, as defined by the Health and Safety upper limit in any year. deficit in the company supply demand balance Agency. not already reported in performance on Executive. How measured? in any year. outcomes I through to K. • Reporting frequency to Ofwat increases to Total carbon dioxide equivalent How measured? How measured? every six months when two indicators are How measured? How measured? emissions divided by total number above the upper limit and quarterly when Annual report provided by the Environment Number of: of customers supplied. more than two are above the upper limit Zero company level deficit measured by the Agency and discussed with South East Water. The number of prosecutions and enforcement • prosecutions Measured as kgCO e per customer security of supply assessment calculation. actions during the year. 2 How is our reward or Measured as a pass or fail. • prohibition notices - can not operate until Target by the end of 2019/20: improvement penalty calculated? How is our reward or Revised Target 37.7 • improvement notices - can operate but must Incentive calculated annually, accrued to the penalty calculated? make required improvement end of the period and applied in the 2019 Incentive calculated annually, accrued to the price setting process. Reward/penalty will be end of the period and applied in the 2019 price an adjustment to RCV. setting process. Reward/penalty will be an adjustment to revenue.

52 53 South East Water Performance, People and Planet 2015 - 2016 Our performance

We are committed to ensuring data To ensure that we continue to Assurance and information provided to our report reliable, robust and complete customers that is reliable, robust and information we will be producing summary complete. In order to achieve this we an updated company monitoring have an assurance structure that is framework and assurance plan for split into three levels to ensure that 2016-17 to be published in summer/ the level of scrutiny is appropriate. autumn 2016. The findings from Further details can be found in our annual audits for 2015-16 will be company monitoring framework incorporated into the process of southeastwater.co.uk/CMF updating our risk assessments and assurance plans. Assurance is both internal which includes peer reviews, manager sign off, executive and board oversight and external through our assurance partners. SMC and Jacobs are our independent assurance partners whose role is to assist the board to ensure, completeness of the annual reporting, compliance with relevant duties and obligations, and to ensure that the information we provide to demonstrate compliance with our relevant duties and obligations is consistent, comparable, reliable and robust. They presented their report and findings to the audit and risk committee which reports into the board. Joseph – Organic Analyst Our laboratory in Farnborough officially opened on 26 February 2016, following a move from our old premises in Frimley Green, Surrey. Since the relocation, the United Kingdom Accreditation Service (UKAS) has given the laboratory a glowing report. This means householders and commercial customers can be assured of high quality analysis which is measured against strict international standards and drinking water testing specifications

54 55 South East Water Performance, People and Planet 2015 - 2016 Our performance

The future Our community Our behaviour • Our capital investment plans for • Four new apprentices will start their What to expect 2016-17 includes work across the careers with us – we are proud to in 2016-17 region, the larger schemes include: support the development of the next • Bray, Berkshire - The largest project in generation Here is just a flavour of some of the our five year programme of work is the • Zero harm strategy – will continue to work we’ll be developing during extension to Keleher water treatment educate and inform our people about 2016-17. If you are interested in our works at Bray. We are currently in health and safety progress do follow us on Twitter or the design and procurement stage of Facebook for updates on our work the project with construction due to Our planet through the year. commence in 2017-18 • We will continue to deliver our five year • Groombridge, Kent - Groombridge National Environment Programme. This @SEWaterUK water treatment works will see work will include the delivery of: commence during the year to upgrade SEWaterUK the existing works • Design phase of eel intake screens at • Hazards Green, Sussex – Hazards five sites Green water treatment works will see Our people • Completion of six surface water work commence during the year to catchment characterisations Our customers upgrade the existing works • Completion of nine ground water • Our new customer challenge group will • Kingston, Kent - Kingston water catchment characterisations be formed - to work with us to develop treatment works is located in Kent • Continuation of 10 Restoring our next Business Plan and a new microfiltration treatment Sustainable Abstraction process is being installed to mitigate • Another year of open days and school Investigations investigations/options against the raw water deterioration in talks – an opportunity to share our appraisals the area passion and pure knowh2ow with others • Completion of 72 biodiversity • Stockbury, Kent – Stockbury water • Look out for our new look vans investigations treatment works is located in Kent across the region – raising customer • We will be preparing our Drought Plan, and a new microfiltration treatment awareness of the work we do Water Resources Management Plan process is being installed to mitigate 2019 and Business Plan 2019 during • In 2017 the market opens for business against the raw water deterioration in the year customers – we will be preparing for the area this new era for the industry • We will continue in our aim to increase • Cowbeech, Sussex - To meet our water efficiency through education and • The development of our five-out-of- water resources management plan, the supply of devices five customer satisfaction campaign a new borehole and main is being - starting with trialling a customer constructed during the next two We’ll look forward to reporting on magazine to inform people about the years. This will supply water to the our performance in July 2017. work we do Sussex area • Fishing at Arlington will open again in 2017 for the next season - a fishing for schools event is planned in April 2017

Simon – Catchment Management Lead We are working with local farmers to help improve water quality in rivers before it even reaches our treatment works. Here Simon our Catchment Management Lead 56 monitors the River Ouse near Barcombe 57 Have your say... We are continually looking to improve and would welcome input from our customers. We welcome your views on the information and challenges set out in this document, and any other issues you believe are important. The information you provide will help us continue to prepare customer focused plans for the future.

You can contact us in the following ways:

southeastwater.co.uk

[email protected]

Regulation and Strategy South East Water Ltd Snodland Kent ME6 5AH