The Effect of Regional Factors on Leakage Levels and the Role of Performance Indicators

What is it about?

In 1997, the Government introduced mandatory leakage targets for water companies, which were designed to (a) preserve water resources (b) guarantee security of supply (c) promote efficiency within the water industry. It was intended that each target should reflect the individual situation of the company and that the targets should be achievable within reasonable economic constraints. This paper examines the numerous factors which affect leakage levels and describes how these vary regionally.

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Why is it important?

The evidence demonstrates that a company's level of leakage is dependent upon the local situation and that, at present, there is no basis for comparison which ensures equality in the stringency of leakage targets.