Lean on me

As the dust settles on the recent PR24 submissions, the water industry in England and Wales finds itself at a critical juncture. The monumental task of preparing for AMP8 looms large, with unprecedented capital investment on the horizon and a myriad of complex challenges to navigate.

The upcoming AMP8 cycle, set to kick off in 2025, presents a vastly different landscape. With capital investment nearly doubling from AMP7, water companies are gearing up to tackle an influx of complex projects, many of which will involve intricate small-scale operations on live assets.

The industry is witnessing a shift towards nature-based solutions, driven by regulatory guidance aimed at achieving biodiversity and net-zero targets. These factors highlight the urgent need for water companies to revamp their organisational and operational models to meet the demands of AMP8 effectively.

Our latest whitepaper explores design choices and options for effectively managing competing trade-offs, alleviating the unhealthy tensions from misaligned incentives, motivations, time horizons for decision rights and organisational perspectives across the five key functions that must work together to deliver capital outcomes.

With the water industry poised for a £9.6bn opportunity in AMP8, the stakes are high, and the time to act is now.

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