9 March 2006
The government has said that a water company's record on tackling pipe leakages will be taken into account when examining applications for water scarcity status.
Once an area has been given official water scarcity status, the water company serving it has the right to compulsorily install water meters on the area's residents.
Speaking at a Water UK conference, minister for climate change and the environment Elliot Morley said: "In considering an application for water scarcity status, we will examine a company's record in tackling leakage."
Last week the government approved an application from Folkstone and Dover water company for water scarcity status, making it the UK's first water scarcity area.
Mr Morley told the conference: "Folkestone and Dover have a good record in tackling leakage - one of the best in the country - and predict a further reduction in the coming decade.
"I want to be clear that this decision does not mean that we advocate compulsory metering throughout England and Wales."
He added: "I also want to be clear that metering has clear advantages in the longer term as the fairest method of water charging, as customers only pay for what they use and is an important tool in demand management. I think there is a particularly strong case for metering in water stressed areas, but applications will be judged on their merits and the strength of the case. There will be no automatic approval."
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