The EFRA Committee has published two pieces of correspondence between the Committee and the Defra Secretary, Steve Reed.
One is a letter from the Committee to Steve Reed following the Committee’s evidence session with Defra officials last week. The other is a letter received from the Defra Secretary, which follows up on his appearance before EFRA in November.
The letter includes a note on the assessment Defra has made of the potential impact of the collapse of Thames Water on the public finances, and the steps the Department is taking to prepare.
It also includes notes on the aims for the Dan Corry review into Defra’s regulators, the assessment the Department has made of the potential merits of increasing anaerobic digestive capacity, and notes on various other environmental topics.
Regarding Thames Water, the note says:
“Government and Ofwat are carefully monitoring the situation, and Ofwat is working closely with the company to strengthen their long-term financial resilience within the context of its licence and broader statutory obligations. The company remains stable.
“Customers need not be concerned about any increased disruption to their water supply or wastewater services because of the financial position of their water company. The provision of water and wastewater services will continue.
“It is for the company to solve their issues of financial resilience. It is not for Government to tell a private company how to manage their finances. Water companies are commercial entities, and it would be inappropriate to comment further on the specific situation of any individual company.”
The Environment, Food and Rural Affairs Committee (EFRA) is appointed by the House of Commons to examine the expenditure, administration and policy of the Department for Environment, Food and Rural Affairs (Defra) and its associated public bodies. It is not a government committee but a select committee of the House of Commons with a key role in holding ministers to account.