Infrastructure Charging Policy
From the 1st April 2018 water companies have introduced new infrastructure charging arrangements in line with the Water Services Regulation Authority's, (also know as Ofwat) new charging rules.
The charges are split into two categories, with the aim to provide transparency on costs for new housing developments.
Network reinforcement charges
These are charges for work that is needed on the existing water or sewer network to provide for new development-related growth. These will be recovered through a new 'infrastructure charge', which will be fixed for both water and wastewater connections per residential unit.
The new infrastructure charge will remove the uncertainty of the cost of the upgrades to the existing network and will remove the need to carry out capacity checks.
Development cannot be refused planning permission based on the capacity of the existing network.
Site specific charges
Charges for all work carried out on the development site and the pipework required to connect the new homes to the existing water main or sewer at a defined point of connection. These will include:
- New water service connections
- New water mains
- New drainage connections
- New sewers
- Diversions of existing water mains and sewers that need to be moved on a development site.
By providing the charges upfront, developers should be able to confidently work out a reasonable estimate of the charges that will apply to their specific development project, at a much earlier stage, providing they know the parameters of the development.
If you would like any further information on the above charges, or to speak to DHA about how our Infrastructure team can assist with your development, please contact Chris Smoker.