22/03/2010

Innovation in the water sector


At a conference run by British Water last week the steps needed to improve innovation (defined as fresh thinking that creates value) in the water sector were discussed. As the Cave Review recognised Innovation is essential for the water sector although the current level of R & D investment in the water sector is extremely small.

The Technology Strategy Board (TSB) established by the current Government with a budget of £1bn over 3 years and 100 staff is the main vehicle for driving business innovation. Groups have already been established by the TSB to look at Low Impact Housing and Sustainable Agriculture and Food. Now Martin Griffiths is leading work to build a case for a new group to stimulate innovation in the water sector. A decision on whether a new group will be formed is not likely til after the election and in the Autumn at the earliest.

Its clear much more needs to be done to encourage innovation. The current situation where the water companies undertake very little true R & D and where the current framework agreements mitigate against innovation is not healthy for the long term future of the industry. A new commercial reality is needed that enables suppliers to be rewarded for investing in innovation that benefits the water sector.       

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