Environment Agency water and sewerage company Environmental Performance Assessment (EPA) methodology (version 9) for 2021 to 2025
| Date | 07 June 2021 |
OFFICIAL
Water & sewerage company Environmental
Performance Assessment (EPA) methodology (version 9).
May 2021. Environment Agency.
1
If you have any queries regarding this methodology please contact Keith Davis, Water
Quality Regulatory Development Manager, keith.davis@environment-agency.gov.uk or
Bethan Howard, bethan.howard@environment-agency.gov.uk Senior Advisor, Water Quality
Regulatory Development, Environment and Business, Environment Agency (EA).
1.0 Introduction to EPA methodology
The Environmental Performance Assessment (EPA) was introduced by the Environment
Agency in 2011 as a non-statutory tool for comparing performance between water and
sewerage companies (WaSCs) operating wholly or mainly in England. It uses measurable
environmental metrics to provide a meaningful comparison of performance across the 9
WaSCs (called water companies in this methodology). The background to the EPA is set out
in Appendix 1. It forms part of a report, produced annually, on the ‘’Environmental
performance of the water and sewerage companies’’ which is published on GOV.UK. We
also publish an Infographic based on the EPA at the same time as the report, on GOV.UK. In
October 2020, we published additional data reports on each water company for 2011 to
2019, which we will update each year (see Section 7.1)
1.1 EPA review for 2021 to 2025 data
The EPA targets we set for each metric align with the 5 year Asset Management Plan (AMP)
investment cycles for water companies to make improvements and meet our expectations.
Therefore, every 5 years we review the reporting and EPA we do to improve it and focus
attention on water companies meeting statutory obligations and our expectations.
Between December 2019 and February 2020, the EA and Natural Resources Wales (NRW)
consulted many stakeholders on proposals to change reporting and widen, strengthen and
tighten the EPA for 2021 to 2025 data years.
This methodology describes the updated reporting approach and EPA for use for 2021 to
2025 data reporting. As some of the data is collected for a calendar year and some for a
financial year, the period of data collection is 1 January 2021 to 31 March 2026.
This methodology includes revised definitions and thresholds for existing metrics, as well as
new metrics and cessation/replacement of metrics.
1.2 Weighting of metrics and Ofwat Common Performance Commitments (CPC)
See Section 5.2 for implementation of a new core metric approach. In addition, Ofwat have
adopted two metrics (total pollution incidents and discharge permit compliance) as common
performance commitments (CPC) for 2020 to 2025 for water companies.
Environment Agency water and sewerage company
Environmental Performance Assessment (EPA) methodology
(version 9) for 2021 to 2025
OFFICIAL
Water & sewerage company Environmental
Performance Assessment (EPA) methodology (version 9).
May 2021. Environment Agency.
2
1.3 Timescale
This methodology will be implemented and the assessment published, starting with the 2021
data assessment for publication in 2022. Some metrics are for a calendar year and some are
for a financial year (1 April to 31 March). Where we say 2021 data we mean a calendar year
and if the metric is for a financial year it will be 1 April 2021 to 31 March 2022.
1.4 Shadow reporting
Below we describe what we mean by shadow reporting.
Alongside the live EPA metrics there will be a new abstraction and impoundment licence
compliance metric beginning on 1st January 2021 in a shadow capacity (ie assessment not
published). See Appendix 2. There will also be a shadow assessment using the discharge
permit compliance (numeric) metric in a ‘core metric’ approach (see Section 5.2).
We are also developing further metrics for use in a shadow capacity (not published) during
the period 2021 to 2025 before full implementation in the published EPA for 2026 data
onwards. More details on these are in the forward look and future reporting section of this
methodology (see Section 8.0).
We will use these shadow assessments to:
illustrate new metrics or assessment approaches before they are fully in use.
inform performance reviews with water companies.
enable us to gather insight into how they are working with a view to improving and
amending where necessary for both the definition of the metric and the associated
data and reporting processes,
facilitate early focus on performance and encourage improvement where required.
give us the opportunity to introduce new metrics or assessment approaches as live in
the future.
We do not intend to publish the results of any shadow assessments.
We will update the EPA methodology before a shadow assessment ceases and moves to
become part of the live EPA. We will be clear about when new EPA metrics or approaches
are adopted into the live EPA and reporting process.
An abstraction and impoundment licence compliance metric will be used as a shadow metric
initially for 2021 data and we plan to introduce this as a live EPA metric as soon as possible
later in the EPA 5 year cycle. The exact timing of the cessation of shadow assessment and
use in the live EPA will be determined by the Environment Agency following refinement of
the metric and process for compliance assessment and reporting as required, using learning
from the shadow period. Details of the abstraction and impoundment licence compliance
shadow metric can be found in Appendix 2.
1.5 Future EPA methodology revisions
The EPA methodology will be re-issued in advance of major changes e.g. the cessation of a
metric from use in a shadow capacity to become part of the live EPA.
OFFICIAL
Water & sewerage company Environmental
Performance Assessment (EPA) methodology (version 9).
May 2021. Environment Agency.
3
2.0 Definitions of the live EPA metrics
For the 2022 edition of the EPA onwards (applied to data collected from the 1st January
2021) the EPA metrics are:
1. Total pollution incidents (category 1 to 3 from sewerage assets as normalised)
2. Serious pollution incidents (category 1 and 2 from sewerage and water supply
assets)
3. Discharge permit compliance (numeric)
4. Self-reporting of pollution incidents (category 1 to 3 from sewerage and water supply
assets)
5. Water Industry National Environment Programme (WINEP) scheme delivery
6. Supply Demand Balance Index (SDBI)
This EPA will report for 1 January 2021 to 31 March 2026, just prior to this (in 2024 to 2025)
a review will take place in line with the 5 year Periodic Review cycle of water company
investment regulated by Ofwat.
2.1 Total pollution incidents (category 1 to 3 from sewerage assets as normalised)
This metric includes pollution incidents from transferred/adopted private sewers, pumping
stations and rising mains. The normalisation of the metric by sewer length includes this
increased length.
This metric includes incidents from the sewerage system and assets only and not the water
supply (clean water) service (e.g. from the water distribution system and water treatment
works).
This metric has been adopted as a common performance commitment by Ofwat for 2020 to
2025.
Incidents from combined sewer overflows that are satisfactory / compliant, deemed not be
having an unacceptable impact on the environment, will not be included in the EPA. Those
which are assessed as having an unacceptable impact on the environment will be reported
in the EPA.
1. Total pollution incidents (category 1 to 3 from sewerage assets as normalised)
Definition of measure
The total number of pollution incidents (categories 1 to 3) in a calendar year emanating
from a discharge or escape of a contaminant from a water company sewerage asset
affecting the water environment. This does not include incidents impacting solely on air or
land. Incidents affecting amenity of the water environment, e.g. Bathing Waters, are
included. It includes pollution incidents from transferred/adopted private foul sewers
(transferred in October 2011). It also includes pollution incidents from transferred/adopted
private pumping stations and from transferred/adopted private rising mains (transferred in
October 2016). Pollution incidents attributed to the water supply (clean water) distribution
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